Panama bank account: opening a US-dollar account while living abroad

A dollarised banking centre with no central bank

A Panama bank account is a US-dollar relationship with a bank licensed by the Superintendencia de Bancos. Panama has no note-issuing central bank, the dollar is legal tender alongside the balboa, and there are no exchange controls, which keeps international dollar transfers straightforward. Non-residents usually obtain one only by showing a concrete link with the country and the lawful origin of their funds.

Panama has no note-issuing central bank: the US dollar is legal tender alongside the balboa, which exists only as coins and is fixed at par. There are no exchange controls and no forced conversion, which keeps international USD transfers straightforward.

General and international licences issued by the SBP

The Superintendencia de Bancos de Panamá separates general-licence banks, allowed to serve local and foreign customers, from international-licence banks restricted to business directed abroad. Large retail names such as Banistmo or Global Bank belong to the first group.

Why Panamanian banks screen non-residents closely

Since the Panama Papers and the country's spell on the FATF grey list, which ended in 2023, banks apply enhanced due diligence. Many decline, for a Panamanian bank account, clients with no residence, local business or property, or insist on a face-to-face meeting in a branch.

Reference letters, a typically Panamanian requirement

Beyond a passport and a second photo ID, Panamanian banks often ask for a reference letter from your current bank and sometimes one from a lawyer or accountant. Proof of income, a recent statement and a written explanation of the account's purpose complete the file.

No deposit guarantee fund in Panama

Unlike the European Union, Panama has no statutory deposit insurance scheme. Protection rests on prudential supervision, liquidity requirements set by the SBP and each bank's own strength, which is why its published financial statements deserve a careful read.

Local ACH transfers and payments abroad

Domestically, interbank transfers run over Panama's ACH network and debit cards use the Clave network. Outgoing SWIFT payments in dollars pass through US correspondent banks, which adds fees to an account in Panama and sometimes extra compliance questions about the beneficiary.

Panama's territorial system versus home-country tax

Panama taxes on a territorial basis, so foreign-source income is generally outside its scope. That does not alter the account holder's duties at home, where interest and gains remain taxable under the rules of the country of residence.

CRS, FATCA and form 3916 for French residents

Panama exchanges financial account data automatically under the CRS and applies FATCA through an intergovernmental agreement with the United States. A French tax resident must also report every Panamanian account on form 3916 filed with the income tax return.

The EU list of non-cooperative jurisdictions

As of February 2026, Panama is still on Annex I of the EU list of non-cooperative jurisdictions for tax purposes. European banks may therefore look harder at transfers to Panama, and several member states apply defensive tax measures.

Preparing a first branch meeting in Panama City

At Banco General, one of the country's main private banking groups, an account for a foreigner is usually prepared through a branch appointment in Panama City, recent bank references and an opening deposit whose amount depends on the product chosen.

Opening an account in Panama: steps and preparation

For opening an account in Panama, start by establishing the concrete link that justifies your application: property, professional activity, a plan to move or a documented investment. Banks in the centre screen non-residents, and a vague purpose is often enough to block the file. Write a short, dated note explaining the intended use of the account and the lawful origin of the funds.

Then contact one or two general-licence banks, asking in writing whether your country of residence is accepted and whether a branch interview is mandatory. In practice, many institutions require a physical presence in Panama City for at least one step. Timing varies by bank and file; do not link an urgent payment to the opening date.

After agreement, check the account agreement, the currency, the fees, the opening deposit and the conditions for using the card and online banking. Make a first low-value transfer to test the payment chain, including the US correspondent bank. Keep the transfer advices: they will serve as evidence of the origin of funds during later checks.

Reference letters and documents for a Panama bank account

A Panama bank account first requires two identity documents, generally the passport and a second photo ID. Banks then ask for a reference letter from your current bank, sometimes supplemented by a reference from a lawyer or accountant. Request these letters early enough, because drafting them can take time and their validity period is often limited.

Also prepare proof of income, a recent account statement and a written explanation of how the account will be used. If you hold property in Panama or work there, add the title deed, the contract or the company documents. The more these papers corroborate each other, the more smoothly the compliance review proceeds without requests for further details.

Documents drawn up in a language other than Spanish or English may need translation, sometimes certified. Ask the bank for the exact list before having copies made. Keep a complete, dated and filed record: the periodic updates required by compliance rely on the same supporting papers and on their consistency over time.

Common mistakes with a bank account in Panama

The first mistake is believing that opening an account is a simple formality. Since the Panama Papers and the spell on the FATF grey list, banks apply enhanced due diligence, and many decline profiles with no local tie. Preparing an honest file is better than an opportunistic application repeated across several institutions with no consistency.

The second mistake is ignoring the absence of a statutory deposit insurance scheme. In Panama, protection rests on SBP supervision, liquidity requirements and the strength of the bank. Read the institution's published financial statements, spread your assets if needed and do not leave on the account more than you are ready to tie up.

The third mistake is neglecting the tax and regulatory impact in your country of residence. Panama's territorial principle does not change your local obligations, and the account is reported under the CRS and FATCA. A French tax resident declares every account on form 3916. European banks may also look harder at transfers to Panama.

Questions to ask the Panamanian bank before signing

Before signing, ask the Panamanian bank whether it accepts non-resident clients from your country, which precise documents are required and whether opening involves travel. Have the opening deposit, any minimum balance and the monthly fees specified. A written answer is preferable, because practices can change quickly with compliance requirements.

Then question it on payments: how the local ACH network works, use of the card on the Clave network, fees on SWIFT transfers in dollars and the role of US correspondent banks. Also ask about usual timing and the documents requested for large transfers, so a legitimate operation is not delayed by further questions.

Finally, ask how periodic checks and account closure are handled, which department to contact from abroad and what remedies exist in case of disagreement. Specify the information passed on under the CRS. An account understood in detail, with written answers, limits the risk of a blockage and eases the relationship with the bank over time.