The 'Grey List' Countdown: Is Panama Finally Leaving it Behind?

Panama Life Hub Insider

Edition: February 10, 2026

Hello! I am Carlos Chen, and welcome to this week's edition of the Panama Life Hub Insider.

As we approach the peak of the dry season, Panama is hitting major milestones that affect everything from how we move around the city to how the world perceives our financial system. In this edition, we celebrate the latest breakthrough on the Metro Line 3 project, review critical updates in national healthcare, and prepare for the upcoming Carnival festivities. We also dive deep into a topic that has been on every investor's mind: Panama’s definitive push to exit international fiscal "grey lists."

Weekly Summary

1. Metro Line 3: The "Panama" TBM Reaches Balboa

A massive engineering milestone has been reached: the tunnel boring machine "Panama" has completed its 3.1 km excavation under the Panama Canal, arriving at the future Balboa station.

• What this means for you: This is the most significant technical hurdle for Metro Line 3. For expats, this confirms that the connection between Panama City and the West (Arraiján/Chorrera) is becoming a reality. It signals future relief from the "Bridge of the Americas" traffic and a long-term boost for property values in the western suburbs.
• Source: Metro de Panamá - Official​

2. Construction Begins: The New National Oncology Hospital

The Panamanian government has officially broken ground on the new National Oncology Hospital located within the "Ciudad de la Salud" (Health City). The project aims to modernize cancer care with state-of-the-art technology and expanded capacity.

• What this means for you: This is a cornerstone for the local healthcare system. For the expat community, especially retirees, the existence of world-class specialized public-private facilities reinforces Panama as a safe and reliable destination for long-term residency where advanced medical needs can be met locally.
• Source: Minsa.gob.pa/​

3. Carnival 2026: The National "Éxodo" Begins (Feb 14–17)

The country is preparing for its biggest annual celebration. While the city hosts parades on the Cinta Costera, the heart of the tradition remains in the interior, specifically Las Tablas and Chitré.

• What this means for you: Prepare for a total "shut down" of banks and government offices from Saturday through Tuesday. If you aren't joining the festivities, stock up on essentials early. If you are traveling, expect heavy traffic starting Friday afternoon as the city empties toward the beaches and mountains.
• Source: Visit Panama​

Spotlight Analysis – Deep Dive

Panama’s Final Push: Exiting the International Fiscal Lists

For years, the "grey list" status has been a shadow over Panama’s financial sector. However, 2026 marks a turning point as the government implements the final phases of the involuntary dissolution of inactive legal entities and stricter transparency protocols to satisfy EU and FATF requirements.

In this deep dive, we explore what this "fiscal cleanup" means for the average expat. Beyond the high-level politics, exiting these lists is expected to simplify international wire transfers, reduce the "enhanced due diligence" often required by foreign banks, and lower the compliance hurdles for those managing assets between Panama and their home countries. We analyze why this is the most positive signal for Panama’s economic reputation in over a decade.

Thank you for being a subscriber to the Panama Life Hub Insider. We aim to keep you informed so you can enjoy the best that Panama has to offer with total peace of mind.

To catch up on our previous reports regarding property laws or the best summer hidden gems, you can always read past editions of the newsletter here.

Warm regards,

Carlos Chen Editor, Panama Life Hub Insider