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If you are considering settling in Panama during 2026, the Friendly Nations Visa continues to position itself as the most efficient immigration pathway for citizens of nations with strategic ties to the isthmus. However, regulations have evolved significantly in recent years. It is no longer enough to open a bank account with a low balance; today, applicants must demonstrate a real economic or professional connection to the country. For many international investors, this is the definitive step toward legal residency and tax optimization under Panama’s territorial system.

With over 40 years of experience and hundreds of families successfully relocated, at Esquivel & Asociados we have been direct witnesses to every regulatory change since this program was created. Our approval rate exceeding 95% reflects a deep understanding of current requirements and the best strategies for each applicant’s profile.

In this guide, we break down the reality of the immigration process in 2026, dispelling myths and clarifying the exact requirements under the current regulations established by Executive Decree No. 197 and Decree No. 226. You will find precise information about the three available application options, eligible countries, updated government fees, and the mistakes you must avoid to ensure your application is approved.

What Is the Friendly Nations Visa and Why Does It Remain Relevant in 2026?

The Friendly Nations Visa (known in Spanish as Visa de Países Amigos) is a residence permit granted to citizens of more than 50 nations that maintain close diplomatic and economic relations with the Republic of Panama. This immigration program was designed to attract foreign investment, professional talent, and human capital from countries with which Panama shares commercial and political interests.

Unlike previous legislation, the current process consists of two mandatory stages that every applicant must understand before beginning the procedure. The first phase corresponds to the Provisional Residency, which is granted for a period of two years. Once this period is fulfilled, the resident must apply for Permanent Residency, provided they have maintained the investment or employment conditions that supported their original application.

This program does not grant immediate permanent residency. It is a phased process that can lead to Panamanian naturalization after five years of total residency in the country. For professionals, investors, and families seeking legal stability in a dollarized jurisdiction with a territorial tax regime, the Friendly Nations Visa represents an exceptional opportunity that few nations offer under similar conditions.

The Three Options to Apply for the Friendly Nations Visa

To apply for the Friendly Nations Visa in 2026, the applicant must demonstrate financial solvency and a connection to Panama through one of the three current options. There are no legal shortcuts or alternatives outside of these options established by current regulations.

Employment Option: Ideal for Professionals and Executives

The employment option is the preferred route for professionals who are transferred or directly hired by companies established in Panama. This option requires submitting a formal employment offer letter and a work contract issued by a legally established company in the country, whether Panamanian-owned or a foreign company duly registered and legalized before Panamanian authorities.

There is a critical condition that many applicants are unaware of: the employing company must process the corresponding Work Permit before the Ministry of Labor and Workforce Development (MITRADEL). Without this approved permit, it is not possible to carry out paid work activities legally, even if the visa is in the process of being issued.

Real Estate Option: The Preferred Choice for Investors and Retirees

In 2026, the minimum real estate investment for the Friendly Nations Visa remains at USD $200,000.00, with local bank financing permitted.

Acquiring real estate represents the most popular option among investors, retirees, and families who wish to secure their assets while obtaining immigration status. The fundamental requirement consists of purchasing a property with a minimum registered value of USD $200,000.00 as recorded in Panama’s Public Registry.

The property must be maintained throughout the provisional residency period. Selling the property before obtaining permanent residency may result in the cancellation of immigration status, unless another property meeting the minimum investment requirement is acquired.

Certificate of Deposit (CD) Option: Guaranteed Financial Security

For applicants who have liquidity and prefer low-risk financial instruments over real estate investment, the bank deposit option exists. This option requires opening a Fixed-Term Deposit for a minimum of USD $200,000.00 in a general license bank authorized in Panama.

At Esquivel & Asociados, we provide in-person banking introduction and assistance to ensure your deposit is processed smoothly by General License banks, avoiding the common ‘compliance’ hurdles for foreigners.

The deposit must be made in a General License Bank (not international or microfinance) to be accepted by the National Immigration Service.

The deposit must remain blocked and free of encumbrances for a minimum period of three years. During this time, the applicant may use the generated interest, but the principal capital must remain intact as a guarantee of the economic connection to the country.

Differences Between the Employment, Real Estate, and Certificate of Deposit (CD) Option (Friendly Nations Visa 2026)

Official List of Eligible Nations Under Decree 226 (Updated)

Only citizens holding a valid passport from the nations included in the official list may apply for this immigration program. It is important to clarify that residents of these countries who do not hold the corresponding nationality do not qualify for the Friendly Nations Visa.

Last list update: March 2026

Benefits of the Friendly Nations Visa Panama

Obtaining residency under this program offers unique competitive advantages that position Panama tax residency for expats as a preferred destination for international relocation.

The territorial tax regime constitutes one of the greatest attractions for foreign residents. Panama applies a system where generally only taxes are paid on income generated within Panamanian territory. Foreign-source income is typically exempt from local taxation, although we recommend obtaining specialized tax advice for each particular situation.

Family inclusion allows the principal applicant to incorporate their spouse, children under 18 years of age (or up to 25 years if they are single students and economically dependent), and parents as dependents in the same application. This feature makes the program a comprehensive solution for families seeking to permanently settle in the isthmus.

Regarding health insurance in Panama for foreigners, while it is not a free benefit provided by the state, resident status allows access to world-class private health policies with comprehensive coverage. In the case of formal employment under contract, the worker also accesses coverage from the Social Security Fund (CSS), the Panamanian social security system.

Panama Friendly Nations Visa 2026 Requirements: Documentation and Costs

The success of the application fundamentally depends on the impeccable presentation of all required documents. An incomplete file or one with defective documentation generates significant delays and may result in the rejection of the application.

Mandatory Document List for the Immigration Application

Note from Esquivel & Asociados: “Remember that all documents issued abroad must bear the Hague Apostille seal to be accepted by Panama’s National Immigration Service.”

Each applicant must submit a criminal background certificate issued by the authorities of their country of origin or the country where they have resided during the last two years. This document must be duly apostilled according to the Hague Convention or legalized through consular channels if the issuing country is not a member of the convention.

The valid passport must have a minimum of six months of validity at the time of filing the application. A health certificate issued by a qualified Panamanian physician must confirm that the applicant is in good physical and mental health.

Proof of economic solvency varies according to the chosen option: employment letter specifying salary for the employment option, property title registered in the Public Registry for the real estate option, or fixed-term deposit certificate for the banking option.

Finally, certified checks payable to the National Treasury and the National Immigration Service for the amounts established in the current government fees are required.

Summary of Immigration Fees and Costs for the Friendly Nations Visa in 2026

Timeline and Stages: Your Path to Permanent Residency in Panama (2026)

The process to obtain the Friendly Nations Visa is predictable but requires rigor. In 2026, the total time from submission to final resolution typically ranges between 3 and 5 months.

Phase 1: Preparation at Origin (Before Traveling)

Before traveling, essential documents are gathered: criminal background checks, nationality certificates, and Hague Apostille processing. We recommend that your attorney digitally reviews all documentation before your arrival in Panama to avoid setbacks.

Phase 2: Registration and Economic Connection (Weeks 1-3 in Panama)

Once in Panama, the chosen investment is formalized: real estate purchase, fixed-term deposit, or signing of the employment contract. This step constitutes the legal foundation of your immigration file.

Phase 3: Filing and Legal Status (Day of Processing)

The attorney submits the complete file before the National Immigration Service. After biometric data capture, the Processing Card is issued (valid for 6 months). From this moment, you are legally a resident in process.

Phase 4: Obtaining Provisional Residency (Month 3 to 5)

Immigration issues the resolution approving your stay for 2 years. At this point, you already have your provisional resident card.

Phase 5: Permanent Residency Application (Upon Completing 2 Years)

This is the final stage. It must be demonstrated that the investment or employment was maintained during the provisional period to obtain definitive Permanent Residency, with no expiration date.

Expert Advice: Mistakes You Must Avoid

The number one mistake we observe at Esquivel & Asociados is document improvisation. Many applicants arrive in Panama with unapostilled documents, expired certificates, or translations done by unauthorized translators. Each of these deficiencies generates delays of weeks or months while the situation is corrected.

Our 360 Legal Landing approach ensures that your Immigration status, Corporate structure, and Banking setup are synchronized. We handle the Ministry of Labor (MITRADEL) permits concurrently with your residency, providing a truly seamless transition.

Frequently Asked Questions About the Friendly Nations Visa

Can I work in Panama with the Friendly Nations Visa?

The visa alone grants the right to residency, not an automatic work permit. If you apply through the employment option, processing the work permit is mandatory and is handled concurrently before MITRADEL. If you apply through real estate investment or fixed-term deposit, you do not have an automatic right to work; you will need to subsequently apply for a work permit under the specific category corresponding to your activity.

Is it necessary to be in Panama to start the process?

No, you can advance the document collection and coordination with your attorney remotely from your country of origin. However, the formal filing of the application requires your physical presence in Panama for the photograph, biometric data capture, and signing of documents before immigration authorities.

What happens if I buy a property for USD $150,000?

You do not qualify for the Friendly Nations Visa under the real estate option. Current regulations establish a strict minimum amount of USD $200,000. If the property is worth less, you will need to supplement the amount with another real estate investment to reach the required threshold, or evaluate another immigration category that fits your profile.

How long does temporary residency last?

Provisional (temporary) residency lasts two years. During this period, the holder must maintain the conditions that supported their original application (employment, real estate property, or bank deposit). At the end of the two years, permanent residency can be requested by presenting documentation demonstrating compliance with the requirements.

How long does it take to obtain a Panamanian passport?

Five years. After obtaining permanent residency, you must wait five years of continuous residency in the country to begin the naturalization process. This period is counted from the date of approval of your initial provisional residency. The naturalization process has additional requirements that include exams on Panamanian history and geography, among others.

Can I include my parents as dependents in the application?

Yes, regulations allow the inclusion of the principal applicant’s parents as dependents. Each dependent must submit their own documentation (passport, apostilled criminal background check, health certificate) and pay the corresponding government fees. This inclusion is processed simultaneously with the principal application.

Ready to Obtain Your Friendly Nations Visa in 2026?

At Esquivel & Asociados, we do not just process documents; we design personalized immigration strategies that adapt to your life and wealth objectives. With four decades of experience and an approval rate exceeding 95%, we have accompanied hundreds of international families in their process of legally settling in Panama.

The Friendly Nations Visa represents an exceptional opportunity in 2026, but it requires legal precision, impeccable documentation, and deep knowledge of current immigration procedures. A mistake in preparation can mean months of delay or even the rejection of your application.

Do not improvise with your future. If you seek legal security, expert advice, and a hassle-free process, contact us today to evaluate your profile and design the optimal strategy for your particular case. Schedule your diagnostic consultation with our team of immigration specialists and take the first step toward your new life in Panama.

Panama–Italy Visa: few immigration opportunities in the world offer what Panama makes available to Italian citizens, permanent residency from day one, with no minimum investment required, the right to apply for an indefinite work permit, and the possibility of bringing the entire family along. All of this is made possible by a bilateral treaty signed over half a century ago that remains in force and more relevant than ever.

The Treaty of Friendship, Commerce and Navigation between the Republic of Panama and the Republic of Italy was signed in 1966 and ratified through Law No. 15 of February 1, 1966. Its purpose was to strengthen cooperation between both nations, guaranteeing citizens of each country preferential treatment in the other’s territory. For Italians looking to establish themselves in Panama, this legal instrument represents an unmatched competitive advantage in the region.

At Esquivel & Asociados, a Panamanian law firm with over 40 years of experience in international immigration law, we have guided hundreds of Italian citizens and clients from more than 70 nationalities through this process. We know every detail of the procedure, every document that can create obstacles, and every strategy to maximize the chances of approval.

What Is the Panama–Italy Visa and the 1966 Friendship Treaty?

The Panama–Italy Visa, formally known as the Permanent Residency under the Panama–Italy Agreement, is an immigration permit that grants the applicant permanent resident status in Panama directly, without needing to go through a prior temporary residency stage.

What sets this visa apart from all other immigration options available in Panama is, above all, the simplicity of access. While other residency categories require investments of USD 300,000 in real estate, provable pensions, or family ties to Panamanian citizens, the bilateral agreement only requires the applicant to be an Italian citizen and demonstrate their intention to engage in an economic or professional activity in the country, either through participation in a Panamanian corporation or through an employment contract with a minimum salary of USD 850 per month, plus a bank account in Panama with a balance of at least USD 5,000.

Additionally, once permanent residency is obtained, the holder has the right to apply to the Ministry of Labor (Mitradel) for a work permit based on the treaty, which is granted on a permanent basis and requires no periodic renewal. For an Italian professional, entrepreneur, or self-employed worker, this means complete labor stability without the recurring costs and paperwork that other nationalities must face.

The legal foundation of this benefit rests on Resolution No. 4803 of March 30, 2012, issued by the National Immigration Service, which regulated the application procedures for the agreement, and on Decree-Law No. 3 of February 22, 2008, which modernized Panama’s general immigration framework.

Advantages of Living in Panama as an Italian: Taxes and Work

Beyond immigration status, living in Panama as a permanent resident under the bilateral agreement opens up a universe of opportunities that go far beyond simply legalizing one’s status.

Direct permanent residency. Unlike other countries, Panama does not require Italians to go through a two-year temporary residency before accessing permanent status. Approval under the agreement immediately grants permanent resident status, giving access to the permanent resident card issued by the Electoral Tribunal.

Right to an indefinite work permit. Once permanent residency is obtained, the holder may apply to the Ministry of Labor (Mitradel) for a work permit based on the treaty, which is granted permanently and requires no periodic renewal. This procedure is optional and applies solely to the main applicant, though dependents may pursue additional work permits through standard channels.

No minimum investment threshold. Unlike Qualified Investor visas, which require a minimum of USD 300,000 in real estate, the Panama–Italy Agreement does not impose a minimum capital requirement. The applicant demonstrates economic activity through participation in a Panamanian corporation or an employment contract with a minimum salary of USD 850 per month, and must show financial solvency with a Panamanian bank account reflecting a balance of at least USD 5,000.

Advantageous territorial tax system. Panama’s tax system operates on the principle of territoriality: only income generated within Panamanian territory is subject to local taxes. Income from foreign sources such as dividends from international companies, rental income from properties in Italy, or overseas investments is not taxed in Panama. For Italian entrepreneurs and professionals with international activity, this represents significant tax savings.

Access to Latin America’s financial hub. Panama is home to more than 65 international banks and is Central America’s leading financial center. Permanent residency facilitates access to corporate and personal bank accounts, credit lines, and top-tier private banking services.

Full family reunification. The agreement allows the applicant to include their spouse, unmarried children under 25 who are enrolled as students in Panama, and the applicant’s parents, even if these family members do not hold Italian nationality.

Path to Panamanian citizenship. After five years of continuous and provable permanent residency in Panama, the Italian resident may begin the naturalization process and obtain a Panamanian passport, which offers visa-free access to more than 140 countries.

“Although this agreement is exclusive to Italians, other routes exist which we cover in our Complete Guide to Residency in Panama 2026.“

Comparison: Panama–Italy Agreement vs. Other Residency Options

The table makes clear what Esquivel & Asociados confirms regularly in consultations: for an Italian citizen, the bilateral agreement is almost always the most efficient and cost-effective path to permanent residency in Panama.

Requirements to Obtain Permanent Residency as an Italian in Panama

The process is simpler than most people would expect. The documents the main applicant must prepare are the following:

• Notarized power of attorney and formal application. The power of attorney must include the name and nationality of both of the applicant’s parents, a detail that frequently causes errors in applications prepared without professional guidance.
• Three passport-size photographs.
• Certified copy of the Italian passport (notarized or authenticated).
• Criminal background check apostilled in Italy.
• Medical health certificate.
• Certified check for B/. 250.00 payable to the National Treasury of Panama.
• Personal Background Affidavit Form.
• Document proving economic activity, which can be one of the following options:
  • Certificate of shares in a Panamanian corporation.
  • Employment contract endorsed by the Ministry of Labor of Panama with a salary of no less than USD 850 per month.
  • Public registry of the company in either of the above cases.
• Copy of the Italian national ID or residency card.
• Bank certification evidencing financial solvency with a minimum balance of USD 5,000 in a Panamanian bank account.

For dependents included in the application, additional documents are required: proof of family relationship, proof of residence, and for those over 18, a certificate of single status and proof of enrollment in studies.

Step-by-Step Process: From Consultation to Permanent Resident Card

Understanding the flow of the procedure is essential for managing expectations and planning the relocation with precision.

Step 1: Initial consultation and assessment. The first step is to meet with an immigration attorney who evaluates the applicant’s specific profile and determines whether the Panama–Italy Agreement or another category is the most suitable option. In many cases the choice is straightforward, but some profiles, such as an Italian retiree with sufficient pension income, may have two or more equally valid routes.

Step 2: Company formation or employment contract management. If the applicant does not have a job offer in Panama, the usual approach is to incorporate a Panamanian corporation, a procedure that can be completed in approximately one week through the Public Registry’s forms.

At Esquivel & Asociados we incorporate your company in record time, ensuring the articles of incorporation meet the requirements of both the Immigration Service and bank compliance departments.

Step 3: Opening a Panamanian bank account. The financial solvency requirement means the applicant must hold a bank account in Panama with a minimum balance of USD 5,000. The account-opening process for non-residents can be complex without the support of an attorney with established relationships with local financial institutions.

Opening a bank account is the step where most independent applications run into trouble. We provide in-person support and pre-approval coordination with partner banks.

Step 4: Gathering and apostilling documents in Italy. The criminal background check must be obtained in Italy and apostilled before being sent to Panama. It is important to verify issuance dates, as the Immigration Service requires all documents to be valid at the time of submission.

Step 5: Filing the application with the National Immigration Service. Once the file is complete, the attorney submits the application. A provisional card is issued to certify the applicant’s status during the resolution period.

Step 6: Approval and issuance of the permanent resident card. The average resolution time ranges between 3 and 4 months. Once residency is approved, the Electoral Tribunal issues the permanent resident card. Optionally, the applicant may begin the process at Mitradel to obtain the permanent work permit based on the treaty.

Expert Advice: What We See at Esquivel & Asociados

With over 40 years of experience guiding international clients through immigration proceedings in Panama, Esquivel & Asociados has identified the most common errors that slow down or jeopardize approval under the Panama–Italy Agreement.

The number one error we observe is the incorrect preparation of the notarized power of attorney. Many applicants arrive with powers of attorney that do not include the name and nationality of the applicant’s parents, a specific requirement of this visa that does not apply to other immigration categories. The result is a returned file and weeks of delay. Our team reviews every document before submission to prevent this type of setback.

Frequently Asked Questions

Do I need to speak Spanish to obtain residency under the Panama–Italy Agreement?

No. Language is not a requirement of the immigration process. That said, knowing Spanish makes daily life, administrative procedures, and business relationships in Panama considerably easier.

Can my spouse also work in Panama if they enter as a dependent?

Yes, but independently. The work permit under the agreement applies solely to the main applicant. A spouse who enters as a dependent can apply for their own permit.

Can I include my adult children in the application?

Yes, with conditions. Children over 18 may be included as dependents if they are single, actively enrolled as students in Panama, and under 25 years of age.

How long do I need to stay in Panama to keep my residency?

There is no minimum number of days per year, but there is an important limit: being absent from Panama for more than two consecutive years can result in the loss of permanent residency. Regular presence in the country is strongly recommended. If the medium-term goal is naturalization, maintaining real and provable presence in the country during the five years prior to the citizenship application is necessary.

What is the difference between the Panama–Italy Agreement and the Friendly Nations Visa?

They differ in fundamental ways. The Panama–Italy Agreement grants permanent residency directly upon approval, while the Friendly Nations Visa begins with temporary residency that must later be converted to permanent status. On top of that, the agreement allows the applicant to request a permanent work permit from Mitradel, a benefit the Friendly Nations Visa does not offer. And since it is backed by a binding international treaty signed in 1966, its legal foundation is more robust against potential changes in local immigration policy.

Your Permanent Residency in Panama Starts with One Call

The agreement exists. The benefits are real. What makes the difference is how the process is managed.

At Esquivel & Asociados we have spent over 40 years guiding international citizens through immigration proceedings in Panama, with an approval rate above 95%. We know exactly which documents the Immigration Service requires, which mistakes to avoid, and how to build a solid file from day one.

Don’t leave your future to chance. Contact us today and schedule your personalized consultation.