10 advantages of having a bank account in Panama

Panama Bank Accounts

The “Switzerland of Latin America” ​​is one of the best options in terms of banking systems and entrepreneurship, this is not a secret for anyone. For more than a decade we have been hearing about Panama and its boom in economic development.

Such advances have allowed the country to open its doors to foreigners, taking into account that professionals and investors from other nations can bring significant contributions to the territory. This is reflected in the opportunity given to anyone, regardless of their citizenship, to have a bank account without problems and without many requirements.

Next, we list the 10 reasons why having a bank account in Panama can be very beneficial for you. Keep reading!

1. Social and political stability

Panamanian citizens are fortunate to have a highly democratic country, which allows security to exist in terms of social upheavals; that is, there is little chance of marches or protests breaking out. This will prevent, for example, your bank’s headquarters in Panama from being affected.

2.Safe and reliable banking

The Panamanian banking system is one of the most reliable, not only in Latin America, but it is at the level of great powers such as Switzerland and the United States.

Much of this reputation is due to the fact that they have organizations designed to regulate the activities carried out in banking; for example, the Superintendency of Banks is in charge of supervising bank and trust transactions.

3. Simple and inexpensive opening process

As there is interest on the part of government entities for foreigners to participate in economic development, facilities such as very low maintenance and opening prices are granted.

Also, it is possible to have a bank account in Panama with the help of authorized agents and it usually only takes a couple of days.

4. Protection against fluctuations and inflation

Political and social stability will have economic implications: in Panama inflation levels are very low. In fact, during 2019, a total of -0.4% was accumulated.

Having an international bank account in Panama, where operations are governed by the value of the US dollar, is a way to prevent your money from losing value.

5. Excellent quality, excellent advice

As these are private banks, it can generally be expected that the quality of the service provided is much better than that of a public entity.

Employees are more trained and have fewer limitations –especially those who are dedicated to offering assistance to international clients–, therefore, the advice will be above that in other financial institutions.

6. Possibility of doing business in other markets

Banks that offer services to foreign entrepreneurs often have connections with suppliers or buyers in the country. It is a way of opening the doors to new opportunities.

For example, in Panama, there is the Colon Free Zone, where companies from all over the world meet due to the benefit of being exempt from income taxes.

7. Banking online first

Thanks to the internet, you will not only be able to carry out the process remotely, but you will also have the opportunity to manage your account. Being such a fundamental part, banks in Panama strive to provide online platforms that are up to the required service.

8. Beneficial tax system

The Panamanian tax system is territorial, that is, you will be exempt from taxes in all those transactions that come from other countries. If the capital is generated outside the territory, you will not have to pay taxes to Panamanian entities.

This will allow you to save money and, at the same time, have a greater capacity to save.

9. Ease of creating companies

You can have a corporate bank account; By doing so, you will be closer to creating your own company, as this is one of the basic requirements. To do this, you must submit documents such as a copy of the passport, pre-approval form, proof of income, company charter, partner data, among others.

10. Ease of obtaining residence visas

It will be easier to process a residence visa in Panama. If you want to move to this beautiful country in the future, having a bank account with capital will allow immigration entities to understand that you are able to stay on your own merit for some time in the territory.

For example, in the case of a friendly country visa, you must have a bank account with at least 5,000 USD (plus 2,000 USD for each dependent) as financial solvency.

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