How can I switch investment vehicles and still be eligible for a Panama permanent resident permit?

Answers

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  Natalia Mulford

  Mulford Abogados

  November 02, 2018

  In the residency-by-investment program, first you have to apply for the temporary residency, which is granted for two years. After that period, you can apply for permanent residency. If you deposit $300,000 into a Panamanian bank account and sign a three-year fixed-term deposit contract, you can switch to the real estate property investment route during the initial two years of investment residency. However, please keep in mind that the bank can refuse to end the fixed-term deposit before the three years.

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  Emilio Cornejo Vernaza

  Panama Global Solutions

  November 02, 2018

  Yes, the applicant may alternate between investment vehicles once temporary residency has been obtained and before the permanent residence application is submitted. What’s relevant for residency purposes is to maintain $300,000 invested in either real estate, fix-term deposits or a mix of these two at the moment of requesting the two-year resident permit, and at the moment of requesting the permanent one. You won’t need to maintain either after obtaining the permanent status for residency purposes.

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  Marcos Kraemer

  Kraemer & Kraemer

  November 03, 2018

  This is possible, though most banks will require the CD to be active for original three years signed for and will not allow it to be canceled prior to that date. However, during the first two years of the investment and before receiving permanent residency, you can switch your investment vehicle. To do this, you would need to prove that the bank investment is still active, and then file paperwork proving your real estate ownership.

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  Alvaro Aguilar

  Lombardi Aguilar Group

  November 05, 2018

  Since the law is silent on this matter, you may switch investments above the $300,000 amount and your attorney would have to ask immigration for approval, which reserves itself the right to approve or demand a new a new application.

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  Julio A. Quijano B.

  Quijano & Associates

  November 02, 2018

  Please note it is not advisable to change the initial investment until permanent residency has been granted. It is necessary to comply with the three-year contract of the time deposit or the residency status could not be renewed. Once the foreigner has received permanent resident status, he will be free to decide if he wants to withdraw the funds when the contract is over or if he prefers to renew it.