Countries › Panama › Guide › 10. Capital markets and finance › Trusts in Panama: Ley 1 de 1984 trusts and the trust company licence of Ley 21 de 2017 (B/.150,000 capital, B/.250,000 guarantee)

Trusts in Panama: Ley 1 de 1984 trusts and the trust company licence of Ley 21 de 2017 (B/.150,000 capital, B/.250,000 guarantee)

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Last verified: 2026-10-29 · Status: Stable

A Panamanian trust (fideicomiso) is a written act by which a settlor transfers assets to a trustee to manage or dispose of them for a set purpose; the assets form a separate estate that the settlor's or trustee's creditors cannot normally attach. Acting as trustee as a business needs a Superintendencia de Bancos licence under Ley 21 de 2017, with B/.150,000 of paid capital, a B/.250,000 guarantee and an annual supervision fee from B/.15,000. Trusts are widely used as security trusts in lending and bond issues.

Panama's currency, the balboa (B/.), is at par with the US dollar, which circulates freely; the Superintendencia de Bancos states that the balboa's value is on a par with the US dollar and that the dollar circulates without restrictions in commercial and financial transactions (checked 29 October 2026). USD figures therefore equal the balboa figures.

Key facts

Minimum paid capital for a trust company licence	150000 PABLey 21 de 2017 art. 26, as of 2026-10-29 · in force
Guarantee every trustee keeps in favour of the Superintendencia de Bancos	250000 PABLey 21 de 2017 art. 27, as of 2026-10-29 · in force
Annual trust supervision fee, fixed part	15000 PABLey 21 de 2017 art. 10, as of 2026-10-29 · in force
Trust company regulator	Superintendencia de Bancos de Panamá textLey 21 de 2017 arts. 1, 4, as of 2026-10-29 · in force
Exchange rate used for USD conversions	1 PAB per USDBalboa at par with the US dollar (Superintendencia de Bancos); Ley 84 de 1904 art. 1, as of 2026-10-29 · in force

The rule

1. A trust is a legal act by which a settlor (fideicomitente) transfers assets or rights to a trustee (fiduciario), who undertakes to manage or dispose of them to fulfil a purpose set by the settlor.Ley 1 de 1984 art. 1 as worded by Ley 21 de 2017, art. 1, 2017-05-10 official text · verified 2026-10-29

2. The trust must always be in writing; verbal, presumed or implied trusts are void. Trusts between living persons may be created by public or private instrument; trusts that take effect on the settlor's death must be made by will or another instrument the law allows.Ley 1 de 1984 arts. 4 and 10 as worded by Ley 21 de 2017, arts. 4, 10, 2017-05-10 official text · verified 2026-10-29

3. Trust assets are a separate estate bound to the trust's purpose and may not be attached or seized, except for obligations incurred or damage caused in carrying out the trust, liens created over the assets, or by third parties where assets were transferred or retained in fraud of their rights.Ley 1 de 1984 art. 15 as worded by Ley 21 de 2017, art. 15, 2017-05-10 official text · verified 2026-10-29

4. Licences may be granted to banks (through specialised trust departments), individuals, and companies with an object authorised by the Superintendent; state banks, 100 percent state owned companies, securities depositories and pension fund managers acting under mandate do not need one.Ley 21 de 10 de mayo de 2017 (fiduciarios y negocio de fideicomiso), art. 12, 2017-05-10 official text · verified 2026-10-29

5. Minimum paid or assigned capital, net of losses, to obtain and keep a trust licence is B/.150,000, and it may never fall below that; the Superintendencia may change it by Acuerdo. Trust companies issue only registered shares.
Cost to do it: B/.150,000 (US$150,000) of paid capital.Ley 21 de 10 de mayo de 2017 (fiduciarios y negocio de fideicomiso), arts. 25, 26, 2017-05-10 official text · verified 2026-10-29

6. Every trustee must keep in Panama a guarantee of B/.250,000 in favour of the Superintendencia de Bancos (cash at a state bank, Panamanian state backed instruments, insurance policy, bank guarantee or certified cheques, not issued by affiliates), adjustable for inflation by Acuerdo.
Cost to do it: B/.250,000 (US$250,000) guarantee, for example by bank guarantee or insurance policy.Ley 21 de 10 de mayo de 2017 (fiduciarios y negocio de fideicomiso), art. 27, 2017-05-10 official text · verified 2026-10-29

7. Trust companies pay an annual regulation and supervision fee of B/.15,000 plus B/.10 per million or fraction of trust assets above B/.100,000,000, the variable part capped at B/.30,000; the Superintendencia may raise or lower it.
Example: B/.600,000,000 of trust assets: B/.15,000 plus 500 x B/.10 = B/.20,000 a year. / US$600 million under trust, US$20,000 a year.Ley 21 de 10 de mayo de 2017 (fiduciarios y negocio de fideicomiso), art. 10, 2017-05-10 official text · verified 2026-10-29

8. Trustees and those who take part in trust activities must keep them confidential, except where the trust deed lifts confidentiality, the settlor authorises it, it is needed to fulfil the trust, a competent authority requires it under the law, AML and terrorist or proliferation financing laws require it, or data processors receive it.Ley 21 de 10 de mayo de 2017 (fiduciarios y negocio de fideicomiso), art. 39, 2017-05-10 official text · verified 2026-10-29

9. Carrying on the trust business without a licence lets the Superintendencia examine books, presume unlicensed activity on refusal, fine, and order a marginal note against the company in the Registro Público; the words fideicomiso and fiduciario are reserved.Ley 21 de 10 de mayo de 2017 (fiduciarios y negocio de fideicomiso), arts. 21, 22, 2017-05-10 official text · verified 2026-10-29

Worked example

A Panamanian developer issues US$30,000,000 (B/.30,000,000) of bonds and places the land, the construction contracts and the sale proceeds in a guarantee trust with a licensed trust company for the bondholders.
The trust assets are a separate estate: creditors of the developer cannot attach them except as art. 15 allows, and the trustee enforces for the bondholders under the deed.
The trust company carries B/.150,000 of capital and a B/.250,000 guarantee and pays the Superintendencia at least B/.15,000 a year.

Step by step

Choose a licensed trustee (bank trust department or trust company).
Draft the trust deed in writing: settlor, trustee, beneficiaries, assets, purpose, protector if any, and confidentiality terms.
Transfer the assets with the formalities each requires (real estate in the Registro Público).
For security trusts, coordinate with the loan or bond documents and any movable mortgage.
Keep KYC and source of funds evidence; trustees are AML reporting entities.

Common traps

Oral or implied trusts are void; everything must be in writing.
Fraudulent transfers into a trust can still be attacked by third party creditors.
Only licensed entities may use fideicomiso or fiduciario in their name or act as trustee as a business.

Sources

← Secured lending in Panama: the movable property mortgage of Ley 129 de 2013, registration, priority and out of court enforcementInsurance in Panama: Superintendencia de Seguros licences, B/.5 million capital and the duty to insure local risks with local insurers →

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