In recent decades the Republic of Panama deliberately has positioned itself as a first-class retirement haven, with some of the most appealing programs for foreign residents and retirees anywhere in the world.

In the past, Panama also boasted an extremely liberal immigration law that encouraged foreigners to move to Panama and set up a residence there.

On February 22, 2008 President Martin Torrijos introduced a newly revised general immigration law. And, as is the legal custom in Panama, a series of rules fleshed out this law last month.

Eric Jackson of Panama News has published an examination of the new law and the implementing rules that took effect on August 28th. Generally, fees for all services have increased. For more details I suggest you review that article, but here are a few highlights:

* Foreigners who already have their legal residency in Panama are "grandfathered in" and retain their existing status, although the requirements have become more expensive.

* The so-called pensionado program that has been so popular with foreigners remains in place, but the minimum income has changed. Before, an applicant only had to prove an established pension income of US$500 per month (or US$750 per couple). Now you need US$1000 income each month to qualify for the program. However, if you own Panama property worth at least US$100,000, only need prove a pension of US$750 per month to qualify. A pensionado with dependents must now pay $250 for each dependent.

* Investors' visas are now more expensive. For instance, you now have to invest US$60,000 to get a visa as an agricultural or reforestation investor. Before you needed US$40,000. Fees for visas, permits and filing various documents have also been raised.

* Tourist visas are granted for a maximum of 90 days, but the common practice is to leave the country for a few days and come back to get another three-month tourist visa.

* Every foreigner must register with a central registry (that has yet to be established) and update their status with change in address, change in economic or martial status. All foreigners will be issued an identity card (cédula) which is the current practice.

Thanks to BOB BAUMAN, Legal Counsel and http://www.sovereignsociety.com/