The "Friendly Nations" Visa Reset: What Changed for Americans and Canadians in 2026?

An introduction to the Panama residency landscape

In 2026, the Friendly Nations Visa is still attracting foreigners. It turns out that after losing its permanent visa status, the program has maintained popularity, and it's still chosen by expats and perpetual travelers alike. 

Today, Mundo goes back to one of the most innovative programs at the moment of its release, and explores why it continues to be such a widely chosen alternative. 

Friendly Nations visa, Panama: 2026 requirements

The background of the Friendly Nations

To understand the program, we must understand its origins. When the country gained control of the canal back from the US, it experienced enormous growth. Since the 19th century, when the major engineering feat called the Panama Canal started to be constructed, the country has welcomed foreign workers and talent. Even great, creative minds of that time, like Paul Gauguin, came to Panama not only for work but also to find inspiration in its people, exuberant nature, and mysterious tropical allure. 

So, when Panama regained control of its canal, it gained momentum, and it flourished as an international living and business hub.

Besides having several residency alternatives in place, the country established one more: the Friendly Nations, which soon caught the eye of many foreign players for its flexibility and innovativeness. It was a straightforward visa that granted permanent residency to citizens of 22 specific countries, which later became approximately 50.

The essence of the Friendly Nations

The decree that regulates the said visa, Executive Decree 226 of 2021, stipulates that the immigration office will grant a residency permit to:

…. “those people from specific countries that maintain friendly, professional, economic and investment relationships with the Republic of Panama, with the objective of performing economic and professional activities as stipulated in this executive decree”.

So now the matter remains how to prove having such relationships.

Requirements of the Panama Friendly Nations: now and before

Eligibility requirements of the FN Visa: before

• Obtain a job contract with a local company, or
• Buy real estate, or
• Establish a company

Requirements of the FN visa: 2026

• Obtain a job contract, or
• Buy real estate, or
• Make a fixed-term deposit in a local bank

Analyzing eligibility rules

Through a job contact

If you're hired by a Panamanian company, you have a verifiable financial and economic connection to the isthmus. Nevertheless, Mundo doesn't recommend this route because it depends on a third party. One has to be very lucky to find a company willing to hire them, without having any previous acquaintances or connections.

Ask for more information

Moreover, most expats are investors or business owners, and they do not need a full-time job in somebody else's corporation. It’s important to note that not any contract will do: it has to be duly registered in the Ministry of Labor. This means that the expat can't be hired as a provider of professional services, but has to be an employee with all social security payments and all payments stipulated by law. 

Through real estate

Applicants can obtain a temporary residency through a real estate investment whose minimum amount must be $200,000. At the moment of writing, you can obtain a perfectly fine unit in a state-of-the-art development in Panama City for a little over 200,000 (approximately 260,000). The property must be duly registered in the national registry under the applicant's name or else under a company whose ultimate beneficial owner is the applicant. The amount of the investment must be paid in full, either with cash or using a local bank mortgage.

Through a fixed-term deposit 

This is the simplest way to obtain the visa. The investment requirement is also $200,000 for a fixed-term deposit, which must be maintained for at least three years. We introduce this as the simplest option because it is: it doesn't require studying the market, researching the neighborhoods, estimating future appreciation, or covering maintenance and rental management services.

Requirements to obtain the Friendly Nations visa

From permanent to temporary: the 2021 amendment 

2021 was a turning point in the Panama residency landscape, firstly because they established the Qualified Investor Visa and secondly because they removed the FN’s permanent permit. Since that year, the visa grants a 2-year residency, which can later be renewed. 

Although initially experts thought the Friendly Nations would lose competitiveness, it actually didn't because it still constitutes a direct entry to the country. Mundo believes that Qualified Investor did not overshadow FN: it complemented it. It is now the ideal alternative, benefiting those who can't access FN because they do not have the right nationality.

Another major change was related to company incorporation. While in the early stages registering a company was enough to obtain the visa, later the requirements became more oriented towards substance. 

It was stipulated that the applicants must hire themselves. This translates into paying your own salary, including Social Security, education insurance, and everything stipulated by law. We've touched upon this topic in our article about Property taxes and maintenance costs in the country of the canal.

Mundo’s recommendation: Why choose real estate

For a Canadian or U.S. citizen, the real estate option through FN is highly recommended. The minimum amount of $200,000 may not seem like a lot in the US, but in Panama, you may be surprised. 

Currently, the market is booming as more developers are constructing buildings, hotels, apartment complexes, and villas. There is a wide variety of options, all of which compete fiercely in terms of exquisiteness, functionality, location, and style. 

Kindly browse around our real estate section, check out the projects available at the moment, and you will understand what we mean. Take a look, and you’ll see how hard it is to tell which project is more original, spectacular, comfortable, and better equipped. 

Currently available projects

Luxury in the city yet away from noise and traffic: get to know Santa Maria

Santa Maria is a residential neighborhood close to Costa del Este. It is in Panama City, but not downtown, where all the bustle and hustle are.

The units are designed for comfort, style and functionality, nestled in a complex with advanced amenities. Some amenities are quite usual, while others are one-of-a-kind, like the outdoor cinema. 

Flexible living for the modern family in Avenida Balboa

On the other hand, there's this opportunity, now in downtown Panama. It’s located near the banking District and steps away from the famous Cinta Costera, offering unforgettable views of the Bay and the skyline. As for the apartments, there are 1 to 3-bedroom units with adaptable spaces that are ideal for the changing nature of the modern family.

Live in the highlands and never feel hot again

If the heat and humidity of the tropics become too much for you, you can choose to buy a place in the city of Boquete. Many publications (not only dedicated to real estate, but also to expat living and lifestyle) have mentioned this jewel in the Chiriqui highlands. We’ve described the advantages and charms of Boquete in one of our latest articles, in which we introduce several cities for expats and retirees. 

This project is located in a private Country Club, a few minutes away from Boquete town and 30 minutes from David, the nearest large urban center.

Mundo tip: for FN, only constructed buildings qualify as the property must be registered. For projects in construction, QI is the better choice as it allows you to present a promise of purchase and finance part of the value (provided that you deposit the sum of 300,000 upfront). 

Buy with Mundo, master brokers for Mercan Group

We've recently shared the good news with all our readers: we've been appointed master brokers of one of the most prestigious development and real estate firms. This gives us a better position when offering their developments, allowing us to help our readers in their search for the ideal property.

Comparing Friendly Nations with Qualified Investor

FN is often compared to Qualified Investor. These two have common ground when it comes to real estate investment, but also key differences. 

Theoretical framework

The Friendly Program may seem like an investor visa, but actually, it's not: it's a permit designed for citizens of certain nationalities. Applicants in this case must prove having ties to the Republic of Panama, and INVESTMENT IS JUST ONE WAY TO DO THAT. A clear example is that you can apply to Friendly Nations through a job contract.

Entry thresholds

QI has much larger entry thresholds starting at $300,000, while FN’s highest is 200,000. QI then escalates to $500,000 (stock market) and $750,000 (fixed term deposit). 

Length of residency

The more you are willing to invest, the more you get. Qualified investor may be more expensive, but it grants immediate permanent residency. Friendly nations also offers a path to permanent residency, only slower (obtaining a 2-year permit initially).

Eligibility

Eligibility should not be overlooked because it’s what can open or close the door to any program. A program can be outstanding; however, it won’t be for you if you're not eligible. 

Mundo believes that FN is a strong candidate among Panama residency programs, but let's face it: it leaves many players out of the game. Its counterpart does not: anyone with good character, with no criminal record, having good health, and with a proven, legal source of funds can become a Panama resident.

Final thoughts: What's new in the Friendly Nations visa for 2026?

This year, all Canadian and U.S. citizens can apply to friendly nations knowing they will be backed by a reliable legal framework, and welcomed to the country of the canal with arms wide open. For those who qualify, an investment of $200,000 is quite attractive, and two years from now, they can choose to obtain permanent residency.

For the same amount, they can choose between a real estate or a fixed-term deposit, at their own convenience. Mundo is absolutely sure that FN is still as competitive as it was back in 2012 when it was first established.

Who we are

Mundo is a team of professionals dedicated to global investment and economic immigration services. Talk to us if you want to open an account, if you need to register a company, or set up a trust. For immigration, we have a strong presence in the Caribbean, Vanuatu, São Tomé, and, of course, Panama. Finally, since we also promote several real estate projects and have close ties with the most renowned developers, we can help you obtain residency through real estate. Wait no longer and contact us for more information. 

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