Permanent Residence Permit on the account of Investments made through a Brokerage Firm in Panama
By means of Executive Decree No. 722 of October 15, 2020, the Permanent Resident Permit in the capacity of Qualified Investor is created, on the account of investments made through a Brokerage Firm with a license approved by the Superintendence of the Stock Market of Panama, under the following conditions:
- Eligibility Conditions: A foreign person who makes one or several investments through a Brokerage Firm with a license approved by the Superintendence of the Stock Market of Panama, for a minimum amount of five hundred thousand balboas with 00/100 (B/.500,000.00) in securities certificates of issuers, whose businesses have an impact in the national territory, through the Panama Stock Market, and whose commitment is maintained for at least five (5) years as from the moment in which said investment is perfected.
- Eligibility Certification: The Ministry of Commerce and Industries, through the Investment Promotion Directorate, shall certify before the National Immigration Service that the investment meets the required parameters, and thus process the Permanent Residence Permit, in the capacity of Qualified Investor. Said certification must contain the details of the investment and the general data of the person who maintains the ownership thereof; which must correspond with the general data of the natural person requesting the residence permit, either because he has made the investment directly in a personal capacity or indirectly through a legal entity of which the applicant is the sole final beneficiary of the shares of the legal entity.
- Main requirements: The main requirements for the presentation of the application is that the investment has been made with resources coming from a foreign source, and it may be made in a personal capacity or through a person in which the applicant is always the final beneficiary of the shares of the legal entity that holds the investment. In addition, the following must be provided:
a. Certification issued by the brokerage firm with a license approved by the Superintendence of the Stock Market of Panama, where the name of the investor, the amount of the investment, the detail of the securities certificates he holds, as well as the entity that holds the securities, are stated;
b. Authenticated copy of the resolution that grants the entity, brokerage firm license, issued by the Superintendence of the Stock Market of Panama, where the investment account of the applicant is kept;
c. Certification issued by the Superintendence of the Stock Market of Panama in connection with the registration of the securities certificates corresponding to said investment; and;
d. Certification of eligibility issued by the Ministry of Commerce and Industries referred to in point 2 above.
4) Additional requirements: In addition to the main requirements and other general requirements requested by the National Immigration Service, the following must be provided:
a. A payment of five thousand dollars (US$5,000.00) in favor of the National Treasury, in concept of fees for the application of the migratory process, and another payment of five thousand dollars (US$5,000.00) in favor of the National Immigration Service as a repatriation deposit, both of which must be provided along with the application for the Permanent Residence Permit, in the capacity of Qualified Investor.
b. In the event that the application includes dependents, it must bear for each dependent, a payment of one thousand dollars (US$1,000.00) in favor of the National Treasury, in concept of fees for the application of the immigration process, and another payment of one thousand dollars (US$1,000.00) in favor of the National Immigration Service in concept of deposit for repatriation, which must be provided with the application.
c. Suitable banking, financial or legal documentation that demonstrates that the applicant made the investment and that the funds used come from abroad, which must be proven by providing one of the following documents:
• Letter from a bank abroad or a local bank, certifying the sending or receipt, respectively, of the funds. If the letter is issued abroad, the letter must be legalized by a Panamanian diplomatic or consular mission in the foreign service or apostilled, according to the Hague Apostille Convention.
• Duly legalized bank statement from the foreign bank or from a local bank, with authentication seals from the issuing bank, which demonstrates the transaction of the sending of the funds.
• Notarized letter, issued by the recipient of the funds, or original bank certification confirming the deposit or receipt of the transfer made, certifying that the funds for the investment were transferred from a foreign account.
5) Estimated process time: The application for the Permanent Resident Permit in the capacity of Qualified Investor must be resolved within a period not exceeding thirty (30) working days, counted as from the time of receipt of the application, through the Special Process Window of the National Immigration Service.
6) Presentation of applications prior to the entry into the national territory: Applications may be submitted prior to the entry into the national territory of the applicant and his dependents, through his attorney-in-fact, with the obligation that prior to the issuance of any immigration card, the process of affiliation in the Register of Immigrants of the National Immigration Service is complied with.
For any consultation or additional information on the requirements and costs related to the obtaining of the Permanent Resident Permit on account of Investments made through a Brokerage Firm in Panama, please do not hesitate to contact us to the e-mail quijano@quijano.com
