[search]

[site map]

[Up]
[Panamanian Spouse]
[Personal Income (CD)]
[Reforestation]
[Investor]
[Micro Enterprise]
[Self-Employed or Artist]

Reforestation Investment in Panama for Permanent Residency and Naturalisation

As of April 27, 2006, this visa has been reactivated by Resolution No. 39 (Dirección Nacional de Migración y Naturalización)  

All documents issued overseas must be Authenticated before being presented in Panama

Process in a nut-shell | Requirements for Immigrant Visa | Requirements for Permanent Residency | Fees & Costs

The new resolution, while welcome for bringing back the reforestation visa, has modified it substantially.  There are now two types of visa available: 

Reforestation investments for permanent residency, citizenship and as an investment opportunity have been highly touted by many websites in Panama and internationally.  Many consider that the US$40,000.00 investment has a money-back guarantee, and sell it as a future gold-mine. We would, however, advise caution and consideration to be applied when you are studying where to invest your funds and how to obtain residency under a reforestation programme.

One of the pitfalls of the reforestation investment is that there are many reforestation programmes offered in Panama, which have already been structured by other investors or promoters (usually foreigners).  The biggest pitfall to beware of is the "guaranteed returns" which are offered on the investments.  Although teak reforestation may be lucrative, often the figures quoted are highly exaggerated, failing to take into account the usual culling of the trees during the 20-25 years of growth.  Therefore, although 1,000 trees may originally have been planted, you may expect at the end of the 20 years to only harvest 100 of these trees.  I am not a forestry expert - I simply wish to state:  buyer beware. 

There are two ways to qualify under the reforestation programme - you may buy your own piece of property, through a corporation, and invest in reforesting the property directly.  This may be of interest to you if you intend to buy a small lifestyle block in the interior, in the mountains or on beach front and you have an interest in planting some trees which fulfil the ANAM's list of forestry woods (this is not limited simply to teak).  You will need to register the project with the ANAM before we can apply to the Immigration Department for your immigrant visa as a reforestation investor.   The registration process may be a little tiresome, but you will then have complete independence with respect to the land and how you manage it. 

On the other hand, many investors prefer to simply purchase either shares in a corporation which has already established a reforestation project or purchase property which is administered by such a company and which has already been qualified by the ANAM as an appropriate project.  In this case, you will need to ensure that the shares and project have been properly registered both with the Securities Commission and the ANAM.  We can do this due diligence for you, should you so require. 

Note:  When a foreign investor undertakes a reforestation project, (s)he must invest a minimum of US$40,000.00 in Panama. With this investment, (s)he will be eligible to apply for an Immigrant Visa as a Reforestation Investor, whether through the purchase of the property and direct investment or through the purchase of shares, bonds, securities or other investments.  The investor must hold the investment, whether direct or indirect, for the minimum 10-year period.  This is not a liquid investment, although it may be possible to sell the future harvest.

We are currently investigating projects and products which may be of interest to investors who are looking for a reforestation project which is solid.  Nevertheless, as lawyers, we are not able to promote a given project, as this would result in a conflict of interest.  Therefore, although we are happy to provide clients or prospects with information regarding the projects which have been investigated, we are not actively promoting any such project.  For information about reforestation projects, please see Panama Forestry & Panama Teak & Forestry. 

Process in a nut-shell:

Part I (applies to both Micro & Macro Investors):

1. Register with the Immigration Department - See Filiación/Registration

2. Make the investment in the reforestation project

3. If you are establishing your own project - it will be necessary to register the project with ANAM, in order to obtain the certificate from them that it is a proper reforestation project.  If you invest in an existing reforestation project, the company should provide you with a certification to present to the immigration department. 

4. Apply for Immigrant Visa as a Reforestation Investor, at which stage you will receive a Temporary Permit, and thereafter receive your immigrant visa 

At this stage, there is a split according to whether you are investing in the micro or macro investor visa: 

Micro Investor in Reforestation Part II: 

For the fees and costs, please see this page:  Micro Investor Fees and Costs (opens into a new window)

1. Apply for three (3) consecutive annual renewals of the immigrant visa

2. Apply for Permanent Residency, with right to a Cédula at the end of the final year with the immigrant visa, at which stage you will receive a Temporary Permit, and should then receive your Permanent Residency

3. Take the letter from Immigration authorising you to have a cédula to the Civil Registry and request your cédula

4. After 5 years of permanent residency, you qualify to request naturalisation

Macro Investor in Reforestation Part II: 

For the fees and costs, please see this page:  Macro Investor Fees and Costs (opens into a new window)

1. Apply for Permanent Residency, with right to a Cédula at the end of the first year with the immigrant visa, at which stage you will receive a Temporary Permit, and should then receive your Permanent Residency

2. Take the letter from Immigration authorising you to have a cédula to the Civil Registry and request your cédula

3. After 5 years of permanent residency, you qualify to request naturalisation

It is necessary to travel to Panama in order to process the legal papers. 

Process in a nut-shell | Requirements for Immigrant Visa | Requirements for Permanent Residency | Fees & Costs

Requirements to Obtain an Immigrant Visa as an Investor in Reforestation - with Provisional Residency Card

1. Power of Attorney and Application via a lawyer/law firm  

2. Certified cheque or cashier's cheque for One Hundred balboas (B/. 100.00) in favour of the National Treasury.   (1 balboa = 1 USD) 

3. Repatriation Deposit  

4. Medical Certificate of Good Health

5. Police Certificate of Good Conduct

6. Certification of the full names of the Applicant's parents 

7. Photocopy of the passport page where the applicant's general details and photo appear

8. Two (2) passport-size photos

9. Original passport, which must be valid for at least six (6) months

10. Certificate of Good Standing for the Company in which the investment has been made

11. Certificate issued by the Secretary or Treasurer of the company in which the investment has been made, in which they certify that the investor has invested in the company, and that the shares are fully paid and issued (they cannot be partially paid).  This certification must be notarised, and should not be signed by the investor (i.e. the investor should not be the officer of the company that signs the certification). 

12. Certificate issued by the Auditor of the company in which the investor has invested, showing either a direct or indirect investment of at least Forty Thousand Dollars ($40,000.00) or Eighty Thousand Dollars ($80,000.00), and proving that the investment is part of the assets of the company.  This certificate must include the license number of the CPA (Certified Public Accountant)

13. Certificate from ANAM, indicating that it is an approved project (or that the paperwork has been submitted for approval of the project). 

14. Copy of the share certificate(s)

15. Authenticated copy of the tax returns.  If the company has not yet been in existence for a tax year, then a copy of the payment of the Government Fees (tasa única) of the Company.

16. Copy of the registration of the company with the tax department

17. Deposit slip from the Bank, showing the deposit into the company

18. Documentary proof of the investment in reforestation activities - such as certificates from the Public Registry which show that the company owns the underlying land, copies of the cheques paid to the reforestation company by the investor, invoices for equipment used in the reforestation, etc. 

Note:  Where the applicant has dependents, the following documents should be included:  

Process in a nut-shell | Requirements for Immigrant Visa | Requirements for Permanent Residency | Fees & Costs

1. Power of Attorney and Application via an attorney/law firm

2. Medical Certificate  

3. Photocopy of the passport page where the applicant's general details and photo appear

4. Four (4) passport-size photo 

5. Original passport, which must be valid for at least six (6) months

6. Certification of the complete names and nationalities of the applicant's parents

7. Certificate of Good Standing for the Company

8. Certificate issued by the Auditor of the company in which the investor has invested, showing either a direct or indirect investment of at least Forty Thousand Dollars (B/.40,000.00) or Eighty Thousand Dollars ($80,000.00), and proving that the investment is part of the assets of the company, with license number of the CPA (Certified Public Accountant)

9. Certificate from ANAM 

10. National (Panamanian) Certificate of Good Standing for Applicant (this is the Paz y Salvo issued by the Ministry of Economy & Finance, indicating that the applicant does not owe any taxes)

11. Expired Provisional Residency Card

Note:  Where the applicant has dependents, the following documents should be included:  

1. Each dependent of legal age should issue a Power of Attorney to the lawyer/law firm to represent them; parents should issue the Power of Attorney for any minor. 

2. Medical Certificate

3. Photocopy of the principal page of the passport, where the dependent's general details are 

4. Four (4) passport size photos for each dependent 

5. Original passport, valid for at least six months

6. Certification of the complete names and nationalities of the parents of each applicant

7. National (Panamanian) Certificate of Good Standing for Applicant (this is the Paz y Salvo issued by the Ministry of Economy & Finance, indicating that the applicant does not owe any taxes) - if dependent is of legal age

8. Expired Provisional Residency card

9. Letter of responsibility from the principal applicant for each dependent

If you would like more information regarding the Immigrant Visa and Permanent Residence as a Reforestation Investor, please send us an email. 

Process in a nut-shell | Requirements for Immigrant Visa | Requirements for Permanent Residency | Fees & Costs

Up | Panamanian Spouse | Personal Income (CD) | Reforestation | Investor | Micro Enterprise | Self-Employed or Artist

[Tourist Visas] [Transients] [Immigrants] [Non-immigrant Visas] [Naturalisation] [Registration] [Multiple Entry-Exit] [Relocating] [Definitions and Terms] [Driver's License]

Last modified 26-Sep-2007 17:37 -0400

Copyright - Disclaimers - Privacy Statement

Copyright © 2000 - 2007, Beth Anne Gray J.

For questions or comments, please write to the webmaster

Last modified 26-Sep-2007 17:37 -0400