Panama’s government confirmed on February 16, 2026, that the country will stay on the European Union’s list of non cooperative tax jurisdictions. The Ministry of Economy and Finance (Panama) stated this outcome was anticipated following the bloc’s latest review.
National authorities emphasized their ongoing dialogue with both domestic stakeholders and European officials. They argue Panama is actively strengthening its fiscal transparency framework and international cooperation standards.
“The Government of Panama has taken note of the announcement, indicating that this permanence on the list was as anticipated and is part of the regular review process carried out by the European Union in accordance with its internal procedures,” the Ministry’s official statement read. [Translated from Spanish]
The ministry expressed confidence that current and future progress will lead to Panama’s removal from the list. Officials pointed to advancements already made in aligning with international requirements.
Path to Removal from the EU List
Panama’s continued presence on the list signals more work is needed to satisfy the European Union‘s criteria. The EU regularly updates this list to promote tax fairness worldwide. Jurisdictions are assessed on tax transparency, fair taxation, and anti base erosion profit shifting measures.
Panamanian authorities framed the situation as a procedural step, not a final judgment. Their statement highlighted a “continuous dialogue” as key to resolving the issue. They believe demonstrating a sustained commitment to reform is crucial for the next review cycle.
“The Ministry of Economy and Finance expressed its confidence that the progress made to date and that which is currently underway will allow for Panama’s exclusion from this list in future reviews,” the communique added. [Translated from Spanish]
International observers will monitor the implementation of Panama’s promised reforms. The country’s reputation in global finance remains sensitive to these classifications. Removal from the list could improve investment perceptions and ease certain cross border financial operations.
This listing differs from being classified as a pure tax haven, focusing instead on cooperative compliance. Panama’s government has consistently worked to shed its historical association with opaque financial practices. The current administration views full compliance as a strategic economic priority.
Future EU assessment periods will determine if Panama’s technical and legislative adjustments meet the required benchmarks. The ministry’s public statement aims to project control and a clear path forward. Their tone suggests an expectation that this is a temporary setback in a longer process of regulatory alignment.