View of Panama City's skyline through lush trees, featuring tall skyscrapers under a blue sky.Aerial view of Panama City's bustling skyline featuring modern skyscrapers and urban architecture.Panama City skyline with its iconic skyscrapers under a dramatic cloudy sky at dusk, reflecting on the water.Panama City skyline with towering skyscrapers reflecting in the ocean under a clear blue sky.Picturesque cityscape of modern urban city with skyscrapers from stone embankment near rippled blue water

Panama

North America · Central America

High PeaceAffordable Cost of Living
Very High DevelopmentFlawed Democracy
Population4.6M126th
GDP / Capita$20KHigh
PPP / Capita$44KModerate
Gender Inequality0.392Moderate
Life Expectancy80 yrsHigh

Dollar economy, generous pensionado visa — strategic hub for Latin America.

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Digital Nomad

Ideal destination

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Expat

Ideal destination

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Retiree

Ideal destination

At a Glance

57
ModerateSafety
65
AffordableCost of Living
60
ModerateQuality of Life
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Panama

Panama is a Central American country whose significance has always been tied to its position as the bridge between continents, and the canal that links two oceans remains one of the great engineering feats of the modern world. Beyond Panama City, which has a vibrant old quarter and a surprising skyline, the country has Caribbean and Pacific coastlines, indigenous Guna Yala islands, and cloud forest reserves. Those who look beyond the transit will find a compact and varied destination.

  • Panama hats are not from Panama — they're from Ecuador, and were exported via Panama.
  • Panama Canal generates over $4 billion in annual tolls — a significant share of GDP from a strip of water.
  • Pensionado retirement visa is considered one of the best in the world.
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Quick Facts

Capital

Panama City

Language

Spanish

Currency

B/. PAB

Area

74,180 km²

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Nomad Hub

Fixed Broadband

220Mbps

Very Fast24th globally

Mobile

34Mbps

Slow93rd globally
EnglishLow
PlugType A/B

💻Digital Nomad Visa

Min. Income

$3,000/mo

Duration

9 months

Renewable

Yes

Application Fee

~$300

Application difficultyMedium
Tax treatmentForeign income exempt
Processing time~30 days
Health insuranceRequired
DependentsYes
Apply onlineIn person / consulate
Path to residencyNo
Open to all nationalitiesYes

GDP / Capita

i

$20K

Upper Mid

PPP / Capita

i

$44K

Very High

Inflation

i

-0.2%

Deflation

Unemployment

i

8.4%

Moderate

Innovation (GII)

i

25.9

Below Avg

GNI / Capita

i

$19K

Upper Mid

Tax Revenue

i

7.2%

FDI Inflows

i

1.0%

Education Spend

i

2.5%

Cost of Living

i

45.5

Affordable

Price Level Index

i

48th pct

Affordable

20-Year Trend + IMF Forecast

Income & inflation over time

i
+258% nominal+106% real
$17K$33K$50K5%200620102015202020252028
GDPPPPInflationIMF forecast
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Neighbouring Countries