Canadian expats find Panama to be a desirable place, which we’ll explore in this post.
We’ll discuss the ease of moving from Canada to Panama for expats, living expenses, as well as pros and cons of living there.
If you are looking to invest as an expat or high-net-worth individual, which is what I specialize in, you can email me (advice@adamfayed.com) or WhatsApp (+44-7393-450-837).
This includes if you are looking for a second opinion or alternative investments.
Some of the facts might change from the time of writing, and nothing written here is formal advice.
Can a Canadian move to Panama?
Of course.
It is true that Canadians have a variety of visa options for moving to Panama from Canada.
The Pensionado Visa is the most common choice for retirees, and it has many advantages like savings on different goods and services. Pensionado Visa requires the monthly income of at least 1,000 USD for the main applicant, and additional 250 USD for each dependent such as your spouse or minor children.
Another option is the Friendly Nations Visa which is intended exclusively for citizens of specific 50 nations, including Canada.
The visa options provide clear routes to residency. After five years, citizenship is also available if you meet the criteria.
There is also a flourishing expat community in Panama, especially in well-known neighborhoods.
Spanish being the official language can be challenging. Nevertheless, communication difficulties can be eased since English is spoken in tourist areas and among expats.
How much does it cost to move to Panama?
That depends. The type of visa plus other requirements will determine the exact figure.
Getting Friendly Nations Visa requires either one of the following:
- an investment of at least $200,000 into Panamanian real estate,
- an investment of at least $200,000 into a time deposit with a Panamanian bank for three years, or
- an employment with a Panamanian company
If you want a quicker route, you can go with Qualified Investor Visa, which give you three investment options of:
- at least $300,000 in Panamanian real estate,
- at least $500,000 into the Panamanian stock market for 5+ years, or
- at least $750,000 into a fixed-term deposit for 5+ years in a Panamanian bank.
Certain additional expenses including government fees might apply in each route.
In addition to that, you need to factor into the flight and accomodation. The average one-way airfare for relocating from Canada to Panama is roughly 300-400 USD.
Cost of living in Panama vs Canada
Is it cheaper to live in Panama than in Canada?
Depending on the data source, Panama’s overall cost of living is substantially lower than Canada’s, at about 27.4% to 65%.
Per Numbeo, the cost of living in Canadian capital Ottawa is 34% higher vs Panama’s namesake capital when excluding rent, and 30% higher when rent is included.
Monthly basic utilities cost C$174 in Panama City compared to C$217 in Ottawa.
Renting a one-bedroom apartment in the city center costs C$1,565 in Panama City vs C$2,012 in Ottawa city center.
Restaurant prices in Panama are about half off.
Is Panama a good country to move to?
Pros and cons of moving from Canada to Panama
The much lower cost of living is one of the main attractions of Panama. It offers far more affordable housing, food, and transportation.
For those wishing to avoid the harsh Canadian winters, Panama’s year-round warmth is particularly alluring.
Newcomers can settle into Panamanian society easily as many expats offer them social opportunities and support.
However, it can be difficult to adjust to a new culture especially when there are language barriers.
Albeit medical care is usually reasonably priced, it might not be as good as Canada’s universal scheme.
Families might discover that Panama’s educational standards fall short of those in Canada.
Newcomers may require trustworthy legal help because they frequently deal with a lot of paperwork.
Pained by financial indecision?
Adam is an internationally recognised author on financial matters with over 830million answer views on Quora, a widely sold book on Amazon, and a contributor on Forbes.
