Panama Nationality: Requirements, Naturalization, and Dual Citizenship Explained

Panama is one of the most sought-after second citizenship destinations among high-net-worth individuals, thanks to its generous tax code and attractive lifestyle. Since Panama doesn’t have a straightforward citizenship-by-investment program, the process of becoming a national involves several specific steps and considerations. 

In this article, we’ll explore Panama’s nationality to help you understand who qualifies under the country’s Constitution. We’ll also examine the pathway foreigners can take to become a Panamanian citizen by naturalization. 

Who Can Become a Panamanian Citizen?

Panama’s nationality is defined by Title 2 of Panama’s Constitution, which outlines citizenship requirements and the status of foreigners. According to it, Panama’s citizenship is available to individuals who acquire it by:

1. Birth
2. Naturalization
3. Constitutional Provision

Panama Citizenship by Birth

According to Article 9 of the Constitution, citizenship by birth is awarded to you if you were:

• Born in Panama’s territory
• Born outside of Panama’s territory to parents who were born in Panama, and you have established a permanent home in Panama
• Born abroad to naturalized citizens of Panama, have established a permanent home in the country, and have expressed a desire to become a citizen within a year of reaching legal adulthood

Panama Citizenship by Naturalization

Article 10 of the Constitution contains Panama’s requirements for citizenship by naturalization. According to this Article, you can become a citizen of Panama if you have maintained five years of continuous permanent residence in the country and:

• Declare that you intend to become a naturalized citizen
• Renounce any other citizenships you may have
• Prove you have sufficient knowledge of the Spanish language 
• Prove you have sufficient knowledge of Panama’s geography, history, and political organization

The Article also outlines how you can become eligible for citizenship by naturalization with only three years of residence. To qualify, you must:

• Have children born in Panama, with a Panamanian citizen
• Have a Panamanian spouse
• Meet the non-residence requirements outlined above

Finally, if you were born in Spain or certain qualifying Latin American countries, and you are a citizen, you might be eligible to apply for Panama’s citizenship after a reduced residency period requirement:

Period	Country
One year	El Salvador
Two years	Argentina, Ecuador, Spain, Honduras, Mexico, Nicaragua, Peru, Colombia
Three years	Uruguay

Panama Citizenship by Constitutional Provision

According to Article 11 of the Constitution, you are granted Panama’s citizenship if you were adopted by citizens of Panama before you turned seven years old. 

You don’t need to apply for naturalization in this case, as your citizenship was granted from the moment your adoption was entered into the Panamanian Civil Register.

How To Meet Panama’s Residency Requirement for Citizenship

In practice, Panama’s five-year residency requirement for citizenship by naturalization translates into holding permanent residency in the country for at least five years. During that time, you should spend at least three years in the country to increase your chances of being issued citizenship. 

The pathway to a successful application for naturalization starts with applying for one of the country’s permanent residency programs. Each has a specific set of requirements you have to meet, and the programs are usually grouped into: 

1. Economic programs
2. Special policies or laws programs
3. Labor programs
4. Family reunification programs

Economic Programs 

The economic programs are mainly focused on allowing foreign investors to reside in the country. Most of the programs award you a two-year provisional permit before granting permanent residency, with two notable exceptions:

1. Qualified Investor Visa Program
2. Reforestation Investor Visa Program with a higher investment amount

These programs award a five-year permanent residency, reducing your time to citizenship.

Below is the list of Panama’s economic permanent residency programs, and the investments they require:

Program	Main Requirement
Qualified Investor (Red Carpet Visa)	An investment of at least USD 300,000 in real estate, or An investment of at least USD 500,000 in securities, or  A fixed-term deposit in a local bank of at least USD 750,000
Reforestation Investor	A USD 100,000 investment in an approved reforestation project, or A USD 350,000 investment in an approved reforestation project to avoid the provisional permit
Macro-Company Investor	A minimum investment of USD 160,000 in a large-scale business project
Economic Self-Solvency	A fixed-term deposit of at least USD 300,000 in a local bank, or A real estate investment of at least USD 300,000, or A combination of a real estate investment and a fixed deposit with a total value of at least USD 300,000

Special Policies or Laws Programs 

Programs in this group will usually have an economic component, such as an employment or investment requirement, and an additional condition, such as a specific industry or country of origin. 

These programs typically award you a two-year provisional permit, after which you can apply for the five-year permanent residency. The two notable exceptions are:

1. The Retired Rentier program, which grants a five-year permanent residence immediately
2. The Retired Pensioner program, which grants an indefinite permanent residency

The most popular programs in this category and their requirements are:

Program	Main Requirements
Friendly Nations Visa	Citizenship of an eligible country, and A USD 200,000 fixed-term deposit in a local bank, or A USD 200,000 investment in real estate, or Employment in Panama
Retired Pensioner	Monthly income of at least USD 1,000, or A property with a value of at least USD 100,000 and a monthly income of at least USD 750
Retired Rentier	A deposit in the National Bank of Panama or Savings Bank that generates at least USD 850 of income every month

You can also apply for residency if you invest in a call center company, the cinematic and audiovisual industry, or a company in the Panama-Pacifico Special Economic Area. 

Labor Programs

As an employee in a Panamanian company, you might be eligible for a two-year provisional permit followed by a five-year permanent residence permit under the following programs:

Program	Main Requirements
Regular worker in a company with a maximum of 10% foreign regular workers	Regular worker in a qualifying company  Monthly wage of at least USD 850
Specialist worker in a company with a maximum of 15% foreign specialist workers	Specialist worker in a qualifying company  Monthly wage of at least USD 850

Family Reunification Programs

The family reunification programs allow you to apply for a two-year provisional permit, followed by a five-year permanent residency, if you’re a family member of a citizen or a resident. 

Program	Main Requirements
Spouse of a Panamanian citizen	Marriage to a citizen of Panama Cohabitation
Dependent of a permanent resident	Being a dependent of a resident or citizen
Foreigners with Panamanian children	Having a child who is a citizen of Panama and is five or older

How To Get Panama Citizenship: The Process Explained

After securing permanent residency, you should maintain the requirements for its whole duration. This usually includes keeping an investment, a fixed-term deposit, or employment for five years, unless the program specifically mentions the period for which the requirements need to be maintained.

Failure to maintain residency requirements may lead to your status being revoked.

If you held the residency successfully, your next steps should be:

1. Contacting your Panama immigration lawyer
2. Gathering the necessary documents
3. Having the lawyer submit the application
4. Completing the formalities

You should note that, under Article 12 of the Constitution, Panama can refuse your application for naturalization for reasons of morality, security, health, and physical and mental impairment. 

1. Contacting Your Panama Immigration Lawyer

Your application for naturalization has to be submitted by a Panamanian immigration lawyer. You may already have one familiar with your case, as some programs require them to submit permanent residency applications.

In addition to submitting the application, your lawyer can help you gather the necessary documents and even draft some of them. For example, they can ensure that your sworn declaration, in which you renounce your previous citizenship and express your desire to acquire Panama’s, is formulated according to legal requirements.

2. Gathering the Necessary Documents

Your application will have to include a number of supporting documents that you should gather beforehand, including:

• Power of Attorney
• The formal application
• Sworn declaration
• Proof of no criminal record
• Copy of your permanent resident card, authenticated by the Electoral Tribunal
• Marriage certificate and spouse’s and children’s birth certificates
• Documents proving financial solvency, such as an income tax return, a bank statement, or proof of investment 
• Completed naturalization interview form
• Tax clearance certificate
• Complete copy of your passport
• Medical certificate of good health
• Certificate of your migration status
• Passport-sized photos of yourself
• Examination certificate demonstrating basic knowledge of Spanish and the Electoral Tribunal

All of these documents should be accurate, up-to-date, and properly notarized and authenticated.

3. Having the Lawyer Submit the Application

The Electoral Tribunal will schedule an appointment to attend an interview and a written examination to assess language skills and knowledge of Panamanian culture. After passing the required exams, the application is forwarded to the President.

Your lawyer will submit the documentation, addressing the Power of Attorney and formal application to the President of Panama, and the supporting documentation to the National Immigration Service. 

The lawyer will also ensure that:

• Your application is compliant with all the legal requirements
• It contains all the necessary documents
• The documents are properly drafted, signed, and authenticated

4. Completing the Formalities

You will be notified once the application review is done and the decision is made. Your lawyer will receive the necessary documents, and you’ll proceed to the next step: the swearing-in at the Governor’s Office.

Your next steps include applying for a Panama passport and completing any remaining formalities with the relevant authorities.

Does Panama Allow Dual Citizenship?

When becoming a citizen of Panama by naturalization, you are required to renounce any other citizenship you might have. However, the lack of enforcement leaves this provision in a grey area. This means you are legally required to have only one citizenship, but in practice, you don’t have to give up your original one.

For example, if you are a U.S. citizen, acquiring a Panamanian citizenship wouldn’t affect your status in the U.S. since it allows dual citizenship.

Panama will require you to swear an oath during which you renounce your former citizenship. However, if you don’t go through the official procedure of renunciation, which includes signing an oath of renunciation at the U.S. embassy in Panama, the United States will still consider you a citizen. 

You should note, however, that acquiring another citizenship as a naturalized citizen of Panama may lead to losing the country’s citizenship, as outlined in Article 13 of the Constitution. You can navigate this issue, as well as others that might arise while acquiring Panamanian residency or citizenship, with the help of Nomad Capitalist. 

Secure Your Panama Citizenship With Nomad Capitalist

Nomad Capitalist is a consulting company whose specialty is helping its clients achieve financial and lifestyle goals through a second citizenship, tax optimization, or international investment. We’ve helped more than 1,500 high-net-worth individuals protect their wealth and enhance global mobility. 

We custom-build an Action Plan that fits our clients’ specific circumstances and objectives, outlining the actions that need to be taken to fulfill them. In practice, the process looks like this:

1. You fill out a form that helps us determine whether we’re a good match
2. We schedule a 45-minute onboarding call to get to know your situation and goals better
3. Our agents develop the Action Plan and present it to you for your approval
4. We implement the Plan over the next 12 months, handling the administrative aspects
5. Once the Plan is implemented, you continue receiving ongoing support

As your partner in the Panama citizenship acquisition process, we can help you determine the best residency option for your situation. We will also prepare you and assist with your citizenship application, ensuring the process is completed efficiently.