U.S., Panama reach free-trade agreement

WASHINGTON (Reuters) - The United States and Panama have reached a free-trade agreement in talks that began in April 2004, a U.S. trade official said on Tuesday.

The talks were delayed repeatedly by agricultural issues. U.S. access to Panama's government procurement market, in anticipation of the expansion of the Panama Canal, was another thorny issue.

The deal raises the number of free-trade agreements awaiting approval by the new Democratic-controlled U.S. Congress to three, along with those for Peru and Colombia.

The U.S. Trade Representative's office will make a formal announcement about the Panama agreement later on Tuesday, the official said.

In January, Panama's then Agriculture Minister Laurentino Cortizo resigned in protest over the proposed agreement, which he said would expose Panama to a higher risk of importing animal diseases -- a charge U.S. officials denied.

A month later, Panamanian officials visited the United States to review U.S. food safety inspection procedures. But a final deal remained out of reach in the run-up to a vote in Panama in October on a $5.25 billion plan to expand the Panama Canal and U.S. congressional elections in November.

Panamanian voters overwhelmingly approved the plan to modernize the 92-year-old canal and many U.S. companies are eager to get some of that business.

The project for the canal, which was U.S. territory until it was returned to Panama in 1999, will double its capacity to enable more and bigger ships to cross between the Atlantic and Pacific oceans, boosting Panama's government revenues.

The low cost of real estate in Panama is made especially appealing by the country’s extraordinary advantages. Besides the near perfect weather, astonishing biodiversity, gorgeous beaches, wonderful multicultural mix, and friendly people, Panama has a stable government and a dollar-based economy, as well as great infrastructure and services.

Excellent healthcare, good roads, safety, and low cost of living are among the many perks of retiring in Panama. But as if all these factors weren’t enough, the Panamanian government has created a system of benefits for those who retire in Panama. If you are thinking about retiring in Panama, or investing in Panama, take these bullet points in consideration and call Katerina Brosda, Broker Associate with Century 21 Oceanfront Realty in Sunny Isles Beach, Florida.

• No property taxes for 20 years;
• No income tax on incomes earned outside Panama;
• No tax on home furnishings if it is the retired person’s only property;
• Exemption from property tax if it is the retired person’s sole residence;
• Discount on the maximum interest rate on personal and commercial loans;
• Discount of percentage points on interest rates for mortgages on housing for retirees;
• Personal and commercial loans are exempt from taxes stipulated by the Special Interest Compensation Fund.

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Panama Hotline (305) 788-9393 (USA)

About Katerina Brosda

Katerina Brosda is a preeminent negotiator dominating by far her industry and field of expertise. As the sole principal at MiamiJustListed.com Ms. Brosda is charged with the day-to-day operations of a boutique real estate services and development firm that caters to the haves and wants of an international upscale clientele in the greater Miami area and in particular on the beaches. Ms. Brosda is recognized by the largest real estate services firm in the world, Century 21, as one of its most successful and outstanding professionals. Ms. Brosda’s firm is located in chic Sunny Isles Beach, Florida, a barrier reef island in North Miami Beach. 

About Century 21 Real Estate LLC

Century 21 Real Estate is the franchisor of the world’s largest residential real estate sales organization, providing comprehensive training, management, administrative and marketing support for the CENTURY 21 System.  The System is comprised of more than 7,800 independently owned and operated franchised broker offices in 42 countries and territories worldwide. Century 21 Real Estate LLC is a subsidiary of Realogy Corporation (NYSE: H), the world’s largest real estate franchisor.

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