Retirement in a tropical Eden, Panama

Why retire in Panama? Where would the best place to settle down be? These questions and others run through the mind of senior citizens contemplating the idea of settling down in a foreign country. Mexico is the most named Latin American country, closely followed by Panama and Puerto Rico, which have been compared and described, including cultural differences that could be problematic.
Panama has a surprising variety of rugged, beautiful panoramas. Seventy-three percent of its approximately 3.3 million inhabitants live in urbanized areas such as Panama City (800,000+) (including its suburbs of San Miguelito and Tocumen), Colon (145,000), and David (125,000). More than half of the Panamanians live in the Panama City – Colon area, location also of the Panama Canal. Unemployment in rural areas is slightly higher than the country’s 7% average. 28.6% of the rural inhabitants live below the poverty level.
Panama’s economy is the fastest growing in Central America, where it is presently rated third highest. The fast-growing middle class feeds the ever-increasing consumerism. Panama City, one of the most modern and exciting cities in Central America with its one million plus metro citizens, has become an international business center. However, the middle class outside of the city is very meager, and along with several parts inside the city itself, poverty and unemployment are widespread. On the plus side, however, the literacy level is a high 91%, and medical facilities and systems are among the best in Central America. The official currency in Panama is the American Dollar, a true convenience for those visiting or planning on retiring to Panama from the northern part of the continent.
Much different than its somewhat violent history might suggest, the government’s constitutional democracy is very stable. Ricardo Martinelli, a popular and outstanding businessman and present president of the country, has begun reforms designed to reduce corruption. Interested in elevating the quality of life for his fellow citizens, he supports a greater expansion of the Canal which should elevate the country’s economy for decades to come.
The country’s different regions offer various prospects for potential retirees. Bocas Del Toros, a group of distant islands lies off the northeast coast. The zone is reminiscent of the Tortuguero region of Puerto Rico; a relaxed feeling near a national park. Development is still in the initial stages, with life centering around water. For those with heat issues, the high mountain areas of Chiriquí and the town of Boquete, inhabited by ex-pats, are the best bets. Boquete is not far up the mountain from the city of David, so city services are available. Colon, the main city on the Atlantic side end of the Canal, is a modern-day version of the Wild West. This duty-free trade zone, is an important port that battles continuously against its high crime rate and reputation as a passageway for illegal drug trafficking.
The Darien province to the east borders with Colombia; the zone near the border is an undeveloped jungle area and home to natural and human predators that should be avoided. Embera, home to Panama’s native population is also part of the Darien province. Kunayala, an autonomous territory, is on the Caribbean coast to the east of Colon, is inhabited by anther native tribe, the Kuna. This area is also known as San Blas, and is an excellent attraction during a tour of Panama because of its long coastline; however, building condos or even simply living there is out of the question. We’ll wind up with Cocle province, the attractive town of El Valle de Anton (see our blog article), the Coronado beach area with immense resorts facing the ocean, and the province of Panama, with most of the canal, Panama City and its extended communities, as well as the natural resorts such as Gamboa. Further writings about groups for retirees in Panama City and the Canal Zone will be presented in later blog posts. Regardless of the pressure from growth and traffic, Panama City offers a lot to those who wish to retire to an urban area.
So, what should be taken into consideration when contemplating living in a foreign country? Usually, there’s no need to worry about crime and safety, except in certain areas, just like anywhere else. Although the crime rate is low, it is no longer inconsequential. Utilities? It depends on your choice of location. Telephones can be found almost everywhere and is fairly reasonably priced. Electricity and water services are not always stable, depending on the zone. Gasoline and insurance are more or less like the United States. Taxes are low and there are plenty of discounts for retirees. Basically, the cost of living is fairly low compared to the United States, but the increasing arrival of ex-pats and the growing economy are causing a rise in expenses. Before trying to buy real estate or obtain licenses and visas in any foreign country, it is a good practice to consult a dependable English speaking attorney.

For excellent comprehensive information, we suggest the following books:
Living and Investing in Panama
Panama Top Retirement Destination