Doing Business in Panama
Those that wish to begin doing business in Panama will find that the economy, on the whole, is welcoming to foreign investment. In most instances, the government of this Central American country treats domestic and foreign capital in the same manner. Businesses in Panama may be foreign-owned or may be organized as joint ventures, for the most part, without restriction.
Doing business in Panama in the retail sector is, however, limited to Panamanian nationals as is the purchase of real estate located within 10 kilometers of the Colombian and Costa Rican borders. In addition to the private sector activities, the government of Panama permits foreign investment in public sector projects unless specifically prohibited by law.
Those that are doing business in Panama will find that there are no registration requirements for capital and that the transfer of funds to the country is not taxable. Additionally, there are no controls on the repatriation of capital or retained earnings for foreign companies doing business in Panama.
The local currency, the Balboa, is taken at par with the US Dollar. The paper money that circulates in Panama is the US Dollar, while the Balboa is used only in coin form. Panama is one of two economies of that region that is dollarized.
The member of the Central American Group (CAG) that is currently doing business in Panama is its industrial real-estate development company, Grupo Corten. Included among the services provided by the company in Panama are:
- The rental of construction machinery;
- The construction of Industrial Buildings
- The development of residential housing;
- The provision of landscaping services;
- The execution of mitigation work;
- The execution of agro-industrial projects.
Those that are doing business in Panama and are interested in speaking to Grupo Corten about its service offerings should fill out the form that is found below. A member of the Central American Group will respond in a timely manner.
Need more information on doing business in Panama?
Download the white paper. It covers topics such as:
- starting a business;
- registering property;
- getting credit;
- paying taxes.
Please fill out the form.