The Ultimate Wealth and Investment Destination:

Article By Abel Gomez-Tomiczek, Founding Partner, Gomez Tomiczek International

Imagine a place where your wealth is protected, your investments grow tax-free, and your lifestyle rivals the world’s top financial hubs—without the excessive costs or bureaucracy. Welcome to Panama.

For decades, this Central American nation has been a discreet haven for entrepreneurs, retirees, and investors seeking stability, financial freedom, and long-term security. In 2025, Panama is no longer just a hidden gem—it’s a strategic move. With world-class banking, high-yield investments, and residency programs offering seamless integration into a thriving economy, Panama presents an unmatched opportunity for high-net-worth

individuals to diversify, safeguard assets, and establish a solid global foothold.
 

PANAMA: THE FINANCIAL & BUSINESS HUB OF LATIN AMERICA

One of the primary reasons why Panama remains an attractive jurisdiction for private wealth management is its robust trust system. Trusts in

Panama have existed since 1925, and the legal framework has been updated over time to enhance asset protection and confidentiality. Unlike many jurisdictions where trusts must be registered publicly, Panama trusts (fideicomiso) are private agreements that do not require public disclosure.
 

This makes them particularly useful for estate planning, protecting assets from legal claims, and ensuring the seamless transfer of wealth to future generations. One common application of trusts in Panama is in real estate transactions, especially in cases where properties are purchased before construction is completed. This type of structure allows buyers to safeguard their investment while ensuring that funds are distributed according to predefined conditions. Additionally, trusts are protected from seizure, meaning that assets held within them cannot be claimed by creditors or third parties, providing an additional layer of security.
 

TRUSTS & FOUNDATIONS: THE SECRET TO LONG-TERM WEALTH PROTECTION

While trusts serve as a flexible and private way to manage wealth, Panama also offers an alternative structure: private interest foundations.

A foundation (fundación de interés privado) is a separate legal entity, typically used for family wealth preservation and estate planning. Unlike trusts, a foundation owns its assets independently and is registered with Panama’s Public Registry, providing long-term stability and legal personality. Trusts are ideal for holding and managing assets under specific terms, while foundations offer a more structured, perpetual solution for estate planning and multi-generational wealth management. The choice between the two depends on an investor’s goals, level of control, and privacy preferences. Unlike in other jurisdictions, Panamanian trusts and foundations offer unmatched flexibility.
 

PANAMA’S BOOMING ECONOMY: WHY INVESTORS ARE PAYING ATTENTION

Panama’s economy continues to expand, driven by diverse industries including banking, logistics, tourism, and real estate. The Panama Canal contributes over $4 billion annually to the economy, while Panama’s regional banking hub status attracts multinational corporations and

foreign investors.

Mining has emerged as a key sector, with one of Latin America’s largest copper mines fuelling economic activity. However, political and environmental debates persist, and how the new government navigates these challenges will be crucial for the industry’s future.
 

With low debt levels, strong GDP growth, and increasing foreign investment, Panama remains one of Latin America’s most stable economies, offering ample opportunities for investors and expats looking for financial security and long-term prosperity.
 

REAL ESTATE & TOURISM: THE NEXT BIG GROWTH OPPORTUNITY

Tourism is a key driver of Panama’s economy, attracting visitors with pristine beaches, cosmopolitan city life, and world-class amenities.

Panama City is a modern metropolis, home to luxury high-rises, five-star hotels, and exclusive shopping districts. Just minutes away, Casco Viejo, a UNESCO-listed colonial quarter, offers historic charm, vibrant nightlife, and boutique hospitality. Beyond the capital, investors are capitalising on Panama’s eco-tourism boom.
 

Coastal and island properties are seeing strong demand from international buyers, particularly in high-potential destinations like Pearl Island and

the Pacific Riviera. The luxury real estate market is surging, driven by investors from the U.S., Europe, and Asia, seeking premium residences, boutique resorts, and high-yield rental properties.
 

RESIDENCY & SECOND CITIZENSHIP: A SMART MOVE FOR GLOBAL INVESTORS

For those seeking a long-term base in a politically stable, business-friendly environment, Panama offers several attractive residency options. Its streamlined immigration policies make it one of the most accessible countries for investors, entrepreneurs, and retirees looking to establish a

foothold in Latin America.
 

One of the most sought-after options is the Friendly Nations Visa, available to citizens from over 50 countries, including the U.S., Canada, and most of Europe. This visa provides a fast-track route to residency through an investment of at least $200,000 in real estate or a fixed-term deposit with a Panamanian bank. Unlike other jurisdictions with complex and lengthy immigration processes, Panama allows applicants to secure residency in just a few months, offering unparalleled flexibility and efficiency.
 

For high-net-worth individuals looking for a stronger investment-driven path to residency, the Golden Investor Visa is a preferred option. With a

minimum investment of $300,000 in Panamanian real estate, this visa grants immediate permanent residency with a clear pathway to citizenship in just five years.
 

Another unique option is the Panama Travel Passport Program, often referred to as the Rentista Retirado Program. This program provides a second residency and an internationally recognised Panamanian travel document, appealing to those seeking enhanced global mobility and financial diversification. While it does not grant citizenship, it offers a secure alternative for individuals looking to internationalise their lifestyle and assets.
 

For Italian citizens, the Panama-Italy Agreement Visa provides a fast-track residency process with a minimal financial requirement— just $5,000 deposited in a Panamanian bank and proof of economic activity. This special bilateral agreement offers a simplified and cost-effective path to permanent residency, making it one of the most accessible residency options in the world. For retirees, Panama remains one of the most attractive destinations worldwide thanks to the Pensionado Visa, designed for individuals with a lifetime pension income of at least $1,000 per month. This visa grants permanent residency for life and includes exclusive discounts on essential expenses such as healthcare, transportation, travel, and utilities, significantly reducing the cost of living. With its high-quality medical services, tax advantages, and lower living costs compared to North America and Europe, Panama continues to rank as a top-tier retirement haven.
 

TAX ADVANTAGES

Panama’s tax advantages further add to its appeal as an investment and residency destination. Unlike many Western nations, Panama operates

on a territorial tax system, meaning that only income earned within the country is subject to taxation. Any income generated outside of Panama,

whether from foreign businesses, investments, or employment, is not taxed by the Panamanian government. This makes the country an excellent

jurisdiction for digital nomads, international business owners, and those looking to optimise their tax obligations. Additionally, Panama has no inheritance tax, wealth tax, or capital gains tax on foreign investments, which is why many high-net-worth individuals consider Panama a

strategic location for long-term wealth planning.
 

Digital Nomad Opportunities in Panama For digital nomads - Panama is emerging as a prime destination. The government has introduced a Digital Nomad Visa that allows remote workers to stay in the country for up to 18 months while maintaining their employment with foreign companies. With a well-developed internet infrastructure, co-working spaces, and a growing community of remote professionals, Panama provides an ideal work-life balance. The country’s vibrant culture, easy access to nature, and proximity to the U.S. make it an attractive alternative to more traditional digital nomad hubs in Europe or Southeast Asia.
 

THE INSIDER ADVANTAGE

Panama’s banking sector is a strategic tool for global investors, offering high-interest fixed-term deposits, multi-currency accounts, and crypto-friendly banking solutions. Unlike many financial hubs that impose heavy taxation on interest earnings, Panama allows foreign investors to benefit from tax-free returns, with interest rates exceeding 5% on secure deposits—a rare advantage in today’s global economy.

While strict compliance measures apply, those with the right guidance can access exclusive financial solutions, including remote account openings,

private banking, and premium investment structures designed for asset protection and capital growth. With over 70 licensed banks, including

internationally recognised institutions, Panama’s financial sector offers both security and flexibility, making it ideal for HNWI, entrepreneurs, and

family offices seeking a stable, dollarised economy with strong investor protections.

Beyond traditional banking, Panama is also emerging as a crypto-friendly jurisdiction, with select banks facilitating crypto-to-fiat transactions,

international remittances, and digital asset management. Combined with its strict financial privacy laws, Panama provides one of the most resilient, rewarding, and discreet banking environments globally, solidifying its position as a premier wealth management hub for sophisticated

investors.
 

THE FUTURE OF WEALTH & MOBILITY

Panama isn’t just another investment hub—it’s the ultimate financial safe haven for those who think ahead. A dollarised economy, zero tax on foreign income, high-yield banking, and streamlined residency programs—all in one place. While other nations complicate investments with bureaucracy and rising taxation, Panama moves fast, offering security, growth, and flexibility for global investors.
 

This isn’t just about tax advantages or a tropical lifestyle—it’s about control, financial security, and global mobility. The world is shifting. Smart investors adapt. Welcome to Panama.   EG