President José Raúl Mulino signed legislation on Monday, November 2, expanding Panama retiree discounts across healthcare, food, utilities, and funeral services, while also enacting the $35.11 billion national budget for fiscal year 2027. The reform modifies Law No. 6 of June 16, 1987, which established benefits for retirees, pensioners, and senior citizens.
The National Assembly approved the measure with 50 votes in favor. Deputy Javier Sucre sponsored the initiative, which now carries penalties up to $5,000 for businesses that refuse to honor the mandated discounts.
Healthcare and Medical Benefits Under the Expanded Panama Retiree Discounts
The new law establishes a 20 percent discount on medications and a 25 percent reduction on medical consultations. It also applies a 20 percent discount to assistive equipment, including wheelchairs, crutches, walkers, and hospital beds.
Coverage now extends to laboratory tests, X-rays, and oncology treatments. The legislation adds discounts for prosthetics, canes, portable toilets, bath chairs, and specialized mattresses. Adult diapers are also included in the expanded benefits package.
Utilities, Housing, and Daily Living Cost Reductions
Beyond medical care, the reform addresses everyday household expenses. Seniors can access discounts on food purchases and basic home services such as electricity, water, garbage collection, telephone, and internet.
Housing-transactions qualify for reductions when the senior citizen owns the property. The law also covers tourism, hotel stays, and recreational activities to broaden savings options for older adults.
Funeral expenses received specific attention in the legislation. Discounts apply to coffins, urns, funeral service contracts, and end-of-life costs.
*Presidente Mulino sanciona ley que extiende beneficios a jubilados y pensionados* En cumplimiento de su promesa a los adultos mayores del país, el presidente de la República, @JoseRaulMulino sancionó este lunes la nueva Ley que modifica y adiciona artículos a la Ley 6 de 1987, sobre beneficios a los jubilados, pensionados y tercera edad. La nueva norma que ahora lleva la firma del presidente Mulino expande los beneficios que les otorga la Ley 6 de 1987, particularmente en los renglones de descuentos en productos y servicios de salud, como medicamentos, consultas médicas, exámenes de laboratorio, radiografías y tratamientos oncológicos, entre otros. También introduce descuentos en bienes, equipos de asistencia y ayudas técnicas, como prótesis, sillas de ruedas, muletas, bastones, andaderas, sanitarios portátiles, sillas de baño, camas hospitalarias y colchones especializados. Otros descuentos nuevos son la compra de ataúdes y urnas, contratación de servicios funerarios, pañales desechables para adultos, y diversos gastos relacionados a trámites de vivienda, cuando un adulto mayor sea el propietario. La nueva ley también aumenta las multas a las personas naturales y jurídicas que se nieguen a hacer los descuentos para jubilados hasta en 5 mil balboas.
— Astrid Salazar (@as_salazar) November 2, 2026
Enforcement Measures and Penalties for Non-Compliance
The amended law strengthens enforcement against individuals and legal entities that refuse to apply the required discounts. Fines can reach $5,000, a significant increase designed to ensure compliance across commercial sectors.
The reform broadens the original 1987 law’s scope, incorporating new benefits for Panama’s retired and pensioned population while maintaining existing protections for third-age citizens.
2027 National Budget Approved at $35.11 Billion
Mulino also signed the General State Budget for fiscal year 2027, totaling $35,111.75 million. The National Assembly approved the spending plan the previous week. Public investment receives $12,839.7 million, representing 36.6 percent of the total budget and a 12 percent increase from the prior year. Operating expenses for public institutions are set at $22,272 million, or 63.4 percent of the budget, reflecting a 5 percent decrease.
Budget modifications totaling $186.83 million target priority sectors including health, infrastructure, security, education, public services, and social needs. The Ministry of Economy and Finance evaluated these adjustments based on resource availability, execution feasibility, and the need to maintain fiscal balance.
The 2027 budget incorporates measures tied to fiscal consolidation, public debt sustainability, and compliance with limits established under the Social Fiscal Responsibility Law.