Dollar Economy Benefits
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Lifestyle & CultureWhy Americans Are Moving to Panama in Record Numbers: What the 2025-2026 Data Actually Shows
Panama's Servicio Nacional de Migración processed 2,912 U.S. citizen residence permits from January through November 2025 (2,824 approved) — exceeding every prior full year on record and making Americans Panama's third-largest source of new residents behind Colombia and Venezuela. The drivers are the U.S. dollar as official currency, territorial taxation on foreign income, the $1,000/month Pensionado visa, 3-to-5-hour flights to U.S. hubs, and a #1 worldwide expat satisfaction ranking (94% happy) in InterNations' 2025 Expat Insider survey.
Lifestyle & CulturePanama's Dual Currency System: The Dollar Advantage for Expats and Investors
Panama operates with both US dollars and Panamanian balboas at 1:1 parity since 1904, making it one of only three countries using USD as official currency, providing exceptional stability with 1.6% average annual inflation for the 30,000+ American expats living there.