Discover retirement visa options in Thailand, Mauritius, Spain, Ecuador and Portugal: What you need to know more?

Thursday, May 29, 2025

In a surprising twist shaking up global retirement trends, the Central American country Panama is now beating Spain, British Columbia, Portugal, Vietnam, and Thailand as the best nation to retire in 2025. This unexpected shift is turning heads among retirees from around the world, especially Americans and Canadians who are seeking more than just warm weather—they want value, safety, and a luxury lifestyle without the sky-high cost.

And that’s exactly what Panama delivers.

While Spain’s coastlines still call to sunseekers, and British Columbia remains a serene Canadian favorite, Panama is quietly outshining them all. Portugal’s cobblestone charm and Thailand’s exotic allure haven’t vanished—but they’ve met fierce competition from this Central American country that’s offering more for less. Even Vietnam, with its rising expat communities, can’t match Panama’s unbeatable blend of modern living, tax perks, and tropical beauty.

The real kicker? Americans and Canadians can move there with ease. With luxury homes at a fraction of the price seen in North America, and a streamlined visa program, relocating is simpler—and smarter—than ever before.

So what’s driving this massive migration toward Panama? Is it just the cost, or something deeper? Could the dream retirement now live not in Europe or Asia, but on the shores of Central America?

This isn’t just another retirement story. It’s a shift in global lifestyle. And if you’re planning your next chapter, what you need to know about Panama could change everything. Keep reading—because this is where your new life might begin.

Panama Named #1 Country to Retire in 2025 as Global Retirees Seek Affordable Luxury and Stability

In a surprising twist for 2025, Panama has claimed the coveted title of the world’s best place to retire, dethroning Europe’s long-favored expat destinations. A new report by International Living places the Central American nation at the top of its Annual Global Retirement Index, redefining how and where retirees can live out their golden years.

This isn’t just a list-topper. It’s a global shift.

For decades, retirees from the U.S., Canada, and Europe have dreamed of escaping rising costs and healthcare burdens. Now, Panama offers them that escape—with unmatched value, modern comforts, and beachfront beauty. It’s the unexpected winner in a fiercely competitive market for retirement migration.

Why Panama Now Leads the Retirement Revolution

Panama isn’t just another tropical escape. It offers the full package—financial ease, urban sophistication, coastal serenity, and robust infrastructure.

The country’s standout appeal lies in its balance between affordability and high quality of life. Retirees can live comfortably on $2,400 per month and even enjoy luxury living for under $2,900. That budget includes housing, healthcare, dining, and entertainment—all wrapped in year-round sunshine.

Meanwhile, tax advantages are pulling in expats at record speed. Panama does not tax foreign-earned income, meaning US retirees can receive pensions or Social Security without sacrificing a cent to the local government. Property taxes are also negligible—just 0.5% on primary residences.

Moreover, the country’s Pensionado Visa is among the most welcoming in the world. With a qualifying pension of just $1,000 per month, retirees can gain residency in as little as six months.

Discounts That Stretch Your Dollars

Panama sweetens the deal with benefits that go far beyond climate and cost. Under the country’s senior discount law, retirees enjoy 25% off power bills, 50% off movie tickets, and 25% off meals at restaurants. These everyday savings make a tangible difference for those looking to stretch retirement funds while living well.

And the perks don’t stop there. Local transportation, medical services, and even airline tickets come with generous discounts under Panama’s retirement benefit laws. For budget-savvy retirees, that translates into a more carefree lifestyle with less financial strain.

Lifestyle Without Limits

Panama’s warm temperatures and clear skies open doors to outdoor living year-round. Residents spend their days playing golf, tennis, and pickleball, or simply soaking in ocean views.

Popular expat enclaves like Coronado, just an hour from Panama City, blend luxury resort living with everyday convenience. Oceanfront condos in upscale neighborhoods remain attainable, with prices still hovering around $155,000 for over 1,100 square feet.

The capital itself, Panama City, defies expectations. With a skyline that rivals Manhattan’s and a vibrant nightlife scene packed with casinos, restaurants, and shopping, retirees don’t need to give up modern luxuries to enjoy tropical ease.

A Safe and Stable Environment

Security and political stability are top priorities for retirees. Panama scores well on both fronts. It boasts strong economic growth, a U.S. dollar-based economy, and high-quality healthcare—elements that provide long-term peace of mind.

The country’s infrastructure, including highways, broadband access, and hospitals, is among the best in Latin America. International airports and direct flights to major cities make it easy for retirees to stay connected with loved ones across the globe.

Panama Outpaces Global Favorites

Panama beat out renowned expat hotspots like Spain, Portugal, Italy, and Thailand in this year’s ranking. While those nations remain popular, they come with steeper living costs, language barriers, and sometimes slower residency processes.

Panama, by contrast, offers ease, accessibility, and familiarity—especially for North American retirees. English is widely spoken, and local communities are welcoming to newcomers. The country’s established expat scene makes it easier to build connections without reinventing your lifestyle.

Tourism Sector Set for Senior Boom

Panama’s tourism and real estate markets are already seeing the ripple effect. Airlines are adding routes. Developers are investing in expat-ready housing. Travel agents are packaging retirement recon tours, inviting potential retirees to explore neighborhoods and experience the culture before making the leap.

As global interest rises, Panama’s status as both a travel destination and a long-term living option is expected to skyrocket. This presents a unique opportunity for tourism boards, hospitality groups, and investors to align their offerings with retiree demands.

Best Places to Visit in Panama: Beaches, Jungles, and City Thrills Await

Panama may be best known for its iconic canal, but scratch the surface and you’ll find a land teeming with natural wonders, vibrant cities, lush jungles, and cultural gems that rival any destination in the Americas. It’s no longer just a stopover for cruise ships or retirees—Panama is emerging as a must-visit destination for every type of traveler in 2025.

Whether you’re dreaming of sun-drenched beaches, cloud-forest treks, or skyline views paired with world-class dining, Panama offers more than just variety—it offers surprises. This is your guide to the very best places to explore in Panama, a country that delivers rich experiences with every turn.

1. Panama City: Where Skyscrapers Meet Historic Charm

Start your journey in the capital, Panama City—a modern, energetic hub that feels like a fusion of Miami and colonial Spain. Towering glass buildings line the waterfront while just minutes away, you’ll find Casco Viejo, the city’s enchanting old quarter.

Cobblestone streets, pastel buildings, and rooftop bars await in this UNESCO World Heritage Site. Wander through churches and plazas, then watch the sunset over the Pacific with a cocktail in hand. For history lovers, a visit to the Panama Canal’s Miraflores Locks is essential. Watching colossal ships glide through this engineering marvel never gets old.

Panama City is also a global foodie hotspot. You’ll find everything from street empanadas to upscale fusion cuisine that brings together Panamanian, Afro-Caribbean, and international flavors.

2. Bocas del Toro: Laid-Back Caribbean Vibes

If island hopping, clear turquoise waters, and barefoot living are your thing, head straight to Bocas del Toro. Located on the Caribbean coast, this colorful archipelago is all about chilled-out charm.

Bocas Town, the main hub, is lively yet low-key, perfect for backpackers, surfers, and eco-tourists. From here, take a boat to Red Frog Beach, known for its golden sands and jungle backdrop, or dive into the crystal-clear waters of Zapatilla Cays—an uninhabited pair of islands that feel like paradise found.

Snorkeling, surfing, and dolphin-watching are daily delights here, and the local Afro-Caribbean culture brings a rhythmic, reggae-infused beat to every evening.

3. Boquete: The Mountain Retreat You Didn’t Know You Needed

Nestled in the Chiriquí Highlands, Boquete is Panama’s answer to those seeking cool mountain air and dramatic natural beauty. This charming town is surrounded by cloud forests, coffee farms, and hiking trails that seem to stretch into the sky.

The region’s crown jewel is Volcán Barú, Panama’s highest peak. Adventurous hikers wake before dawn to summit it in time for sunrise. On clear days, you can see both the Pacific and Atlantic oceans at once—a view you won’t forget.

But Boquete isn’t just for adrenaline junkies. Its slower pace, boutique lodges, and coffee tasting tours make it ideal for couples, nature lovers, and anyone who needs a breath of fresh air.

4. San Blas Islands: Untouched Indigenous Paradise

For a truly off-grid experience, sail your way to the San Blas Islands, a string of over 360 islets owned and protected by the Guna Yala people. This autonomous indigenous group has fiercely preserved both their land and their traditions.

There are no high-rise hotels or party cruises here. Instead, you’ll find pristine beaches, palm trees swaying in the breeze, and some of the clearest water in the world. Island-hop by wooden canoe, sleep in beachside cabins, and live simply, if only for a few magical days.

It’s a rare experience in today’s travel world—authentic, sustainable, and humbling.

5. Santa Catalina: A Surfer’s Secret and a Gateway to Diving Heaven

Once a sleepy fishing village, Santa Catalina has become a favorite for surfers and ocean lovers without ever losing its quiet soul. With reliable waves and a friendly vibe, it’s a favorite among those looking to surf in peace.

Beyond the breaks, Santa Catalina is your launch point to Coiba National Park, a UNESCO-protected marine reserve often dubbed “the Galápagos of Central America.” Scuba diving here is world-class, with whale sharks, sea turtles, and manta rays gliding through the waters.

You won’t find chain hotels or nightlife here—but that’s exactly why so many come.

6. Pearl Islands: Luxury Meets Wild Beauty

A short flight or ferry ride from Panama City lands you in the Pearl Islands, a cluster of over 200 islands once home to Spanish treasure hunters and now dotted with luxurious resorts and private getaways.

The most visited island, Contadora, offers white sand beaches and upscale comforts. However, nearby Isla Saboga and others remain nearly untouched, ideal for nature walks, whale watching, and sailing in solitude.

It’s the perfect blend of indulgence and escape.

7. El Valle de Antón: Crater-Living and Nature Trails

Just a couple of hours from Panama City, El Valle de Antón sits inside a massive extinct volcanic crater. This lush valley is home to waterfalls, hot springs, exotic wildlife, and a popular weekend market selling everything from handmade crafts to local fruits.

Nature is the main attraction—hike to Cerro Gaital, swim beneath Chorro El Macho, or take a mud bath in thermal springs. It’s an ideal destination for eco-tourists and families alike.

Why Panama Should Top Your 2025 Travel List

Panama is more than a destination—it’s a revelation. In one trip, you can wander colonial streets, summit volcanoes, dive among coral reefs, and fall asleep to the sound of ocean waves.

The country’s compact size makes it incredibly easy to explore, while its strong infrastructure, warm hospitality, and rich cultural diversity make you feel right at home. Whether you’re an adrenaline-seeker, culture lover, or just need to disconnect, Panama delivers the unexpected—beautifully and effortlessly.

Retirement Compass: Best Places to Retire

Retirement isn’t about slowing down anymore—it’s about leveling up. More retirees are trading routine for adventure, noise for nature, and uncertainty for comfort. Whether you dream of sipping coffee in a cobblestone plaza or watching the sun dip over a tropical coastline, the world is wide open. And 2025 has brought a new list of cities and countries across America, South America, Canada, Europe, and Asia where retirees can stretch their savings, embrace a vibrant lifestyle, and finally live life on their own terms.

Here’s your guide to the top retirement destinations that offer safety, affordability, healthcare, and happiness—all wrapped in stunning surroundings.

United States: Asheville, North Carolina

Tucked into the Blue Ridge Mountains, Asheville is where scenic beauty meets cultural charm. It’s not just the cool mountain air and rolling green hills that attract retirees—it’s the lifestyle. Asheville offers top-rated healthcare, an ever-growing community of active seniors, and endless outdoor activities, from hiking to kayaking.

The downtown is filled with quirky art galleries, independent bookstores, and farm-to-table eateries. Add in mild winters and a slower pace of life, and it’s no wonder Asheville ranks among America’s best places to retire.

South America: Medellín, Colombia

Once overshadowed by its past, Medellín has emerged as a vibrant, modern, and surprisingly affordable city for retirees. Nicknamed the “City of Eternal Spring,” Medellín boasts a near-perfect climate year-round.

What makes it retirement-worthy? Low cost of living, excellent public transportation, a growing expat community, and access to quality healthcare. The city is cosmopolitan yet welcoming, and many locals are eager to help newcomers feel at home. Outdoor escalators in hilly neighborhoods and modern metro lines speak volumes about how accessible and forward-thinking the city has become.

Canada: Victoria, British Columbia

For those looking to stay closer to home while still escaping urban chaos, Victoria offers a peaceful retreat. Located on Vancouver Island, this charming city blends coastal beauty with British elegance.

Retirees here enjoy access to Canada’s world-class public healthcare, low crime rates, and a strong social support network. Victoria’s mild climate—rare for most of Canada—makes it ideal for year-round walks, gardening, or waterfront dining. Plus, the city’s commitment to clean energy and sustainability adds to its appeal.

Europe: Algarve, Portugal

Portugal’s Algarve region has steadily climbed to the top of retirement wish lists—and for good reason. Known for its sunny beaches, golf resorts, and friendly locals, Algarve is more than just a vacation hotspot. It’s an affordable and accessible haven for retirees.

Portugal offers a relatively low cost of living, excellent private healthcare, and a tax-friendly visa program for foreign retirees. English is widely spoken, and the pace of life is refreshingly relaxed. Charming coastal towns like Lagos and Tavira mix modern amenities with centuries-old architecture, giving retirees both comfort and culture.

Europe: Valencia, Spain

Spain’s third-largest city, Valencia, offers the Mediterranean lifestyle without the high prices of Barcelona or Madrid. It’s a walkable, sun-soaked city with pristine beaches, world-class dining, and a rich cultural calendar.

Healthcare in Spain is among the best in Europe, and Valencia’s expat community continues to grow. Whether it’s cycling along the Turia River Park or shopping at open-air markets, retirees find it easy to stay active and engaged here.

Asia: Chiang Mai, Thailand

Tucked into the mountains of northern Thailand, Chiang Mai is a top choice for retirees seeking serenity and simplicity. The cost of living is exceptionally low, allowing retirees to enjoy a luxurious lifestyle on a modest budget.

Affordable housing, fresh food markets, and warm, respectful locals create an atmosphere that’s both peaceful and enriching. Chiang Mai also offers access to private hospitals known for high standards and low costs. Add in a thriving expat community, weekly social events, and endless temples to explore, and it’s easy to see why so many stay longer than planned.

Asia: Da Nang, Vietnam

Da Nang is fast becoming Vietnam’s retirement gem. Positioned between Hanoi and Ho Chi Minh City, it offers a laid-back vibe, clean beaches, and modern conveniences.

Retirees are drawn to the low cost of living, beachfront apartments, and vibrant café culture. The local government is investing heavily in infrastructure, making it easier for foreigners to settle in. And with new visa options aimed at retirees and digital nomads, Da Nang is opening doors wider than ever before.

Choosing the Right Place for You

Each of these destinations offers a unique take on retirement. Some lean into adventure and affordability, others into calm and convenience. What ties them all together is a sense of freedom—freedom to live well without financial strain, to explore without pressure, and to enjoy your days with intention.

As retirees increasingly seek locations that offer safety, community, healthcare access, and scenic beauty, these cities and regions stand out as the best the world has to offer in 2025.

Whether you crave mountain air in North Carolina, Mediterranean sunsets in Portugal, or the tranquil temples of Thailand, one thing is clear—retirement no longer has a finish line. It’s a launchpad.

What This Means for the Travel Industry

The travel industry is taking note. Airlines may adjust seasonal schedules to accommodate retiree travelers seeking extended stays. Insurance providers are expanding coverage to include long-term living abroad. Even luxury hotel chains are exploring retirement resort models, blending hospitality and residential comfort.

In the years ahead, Panama’s success may reshape the future of retirement tourism—turning short visits into lifetime commitments.

For now, Panama’s victory on the Global Retirement Index is more than just a headline. It’s a signal. A new era of retirement has arrived—one where lifestyle, affordability, and opportunity intersect under the warmth of the Central American sun.

Source: Daily Mail