A US- or other foreign-flagged yacht can charter in Panama, but not on its own. It must be placed under a temporary charter contract with a Panamanian company that holds an AMP operating licence for yacht chartering, and get a charter navigation permit. Decreto Ejecutivo 4 of 2025 confirms this route. Without it, a foreign yacht on a cruising permit is a visitor and cannot take paying guests.
Where a foreign yacht starts: in transit
A foreign yacht that clears into Panama is a visitor. It is admitted temporarily, pays no import duty, and cannot be sold or used commercially as it stands. Decreto Ejecutivo 4 of 11 February 2025, Panama's nautical tourism decree, defines an embarcación en tránsito as one staying in Panamanian waters for no more than 24 months. Its Article 16 lets the AMP Board grant a free navigation permit for the first three months, and keeps the exemption from arrival and anchoring taxes and fees for foreign yachts staying up to one year.
None of that is a licence to charge guests. The visitor's paperwork is covered in the Panama cruising permit and temporary vs full import.
The charter permit under the 2025 decree
Article 16(2) of Decreto Ejecutivo 4 lets the AMP Board establish a special free navigation permit for the rental of recreational vessels, or nautical charter. Its conditions, as published in the Gaceta Oficial:
- The yacht is foreign-registered, or Panamanian-registered with an international-service navigation patent.
- It is made available to a local charter company holding a valid operating licence for vessel rental as a servicio marítimo auxiliar in Panamanian waters.
- The arrangement is backed by a special temporary charter contract.
- The yacht meets all technical safety and navigation requirements.
The decree sets no fee amounts and leaves tariffs to the AMP Board. It also lets a foreign yacht replace its captain through the Ventanilla Única of the AMP's Oficina de Turismo Náutico: the new captain gets a temporary permit from the AMP's Gente de Mar directorate, the office has 48 hours to accredit them, and replacement captains may be Panamanian or foreign.
How the permit works in practice: Resolution J.D. 089-2020
The operating licence the decree refers to comes from AMP Board Resolution J.D. 089-2020, which created the yacht chartering auxiliary maritime service. Under it:
- The charter-type navigation permit is valid for up to 12 months and is open to yachts on a foreign registry. You apply to the AMP merchant marine directorate with a copy of the foreign registration, a notarised charter contract with the operating company, that company's operating licence and the payment receipt.
- The yacht meets its flag state's rules. If those are below Panama's standard, the AMP inspects it and issues a Statement of Compliance.
- On a foreign-flag crewed yacht, the captain and crew need valid certificates for their positions from a state party to the STCW Convention.
- The operating company registers the yacht, keeps a daily log and 24-hour radio watch, and carries the required insurance.
The 2020 resolution set a fee for a foreign-registry charter permit; the 2025 decree allows the AMP Board to make it free. Confirm the current fee with the AMP before you budget. The licensing chain is in charter licences and permits in Panama.
The alternatives: reflag, import or a local operator
| Route | What it involves | Suits |
|---|---|---|
| Charter permit via a licensed local company | Temporary charter contract, AMP charter permit, flag standard or Statement of Compliance | A yacht in Panama for a season or two that may leave again |
| Definitive import and Panamanian registration | Aduanas import with duty and 7% ITBMS, AMP registration, commercial inspection | A boat that will stay and work in Panama long term |
| Management with a local operator | The licensed company runs bookings, crew and permits; you own the boat | Owners who will not live aboard or run the business |
| Charter on the cruising permit | Not a legal route | No one |
Get a customs broker's quote before you choose import, since only licensed brokers can assess duty. The management structure is in charter management agreements in Panama.
The risks of chartering without the permit
Guests on an unlicensed boat have no ATP or AMP protection, and your insurer is likely to treat a paid trip on a private policy as outside cover. SENAN and the AMP board boats at sea and check papers. A foreign yacht caught working on a visitor's status also puts its temporary admission in question with Aduanas. We could not find a published fine schedule; the enforcement picture is in illegal charters in Panama.
Two traps catch people. One is "crew payment" or "shared expenses" in place of a charter fee: if guests pay to be aboard, treat it as a charter. The other is advertising on a platform before the permit is issued, which leaves a public record of commercial intent.
Contrast with the US Passenger Vessel Services Act
In the US, a foreign-built or foreign-flagged boat cannot carry passengers between US points, because the Passenger Vessel Services Act and the coastwise rules reserve that trade for qualified US vessels, with narrow waivers. Panama has no equivalent cabotage bar for yacht charter: it opens the door to foreign yachts, but only through a licensed Panamanian operating company. See foreign-built charter vessels in Florida and foreign-flagged yachts in Florida.
Your practical starting checklist
- Confirm your yacht's flag, registration and the date your transit status began.
- Find a Panamanian company that holds an AMP operating licence for yacht chartering.
- Agree a temporary charter contract with that company and have it notarised.
- Check the yacht against Panama's standard and ask the AMP whether a Statement of Compliance is needed.
- Confirm captain and crew hold STCW-party certificates for their positions.
- Apply for the charter navigation permit and confirm the current fee with the AMP.
- Hold off on marketing until the permit is issued.
Frequently asked questions
Can my US-flagged yacht do day charters in Panama?
Only if it is placed with a Panamanian company that holds an AMP operating licence for yacht chartering, under a charter contract and with a charter navigation permit. On a cruising permit alone, no.
How long can a foreign yacht stay in Panama?
Decreto Ejecutivo 4 of 2025 treats a vessel staying up to 24 months as in transit. The cruising permit and the crew's immigration stamps run on their own clocks.
Do I have to reflag to Panama to charter?
No. The charter permit is open to foreign-registered yachts. Reflagging or a definitive import makes sense when the boat will stay and work long term.
Can a foreign captain run my yacht's charters?
Under J.D. 089-2020, captain and crew on a foreign-flag yacht need valid certificates from an STCW state party. Work permits and labour rules apply separately.
¿Un yate extranjero puede hacer chárter en Panamá?
Sí, a través de una empresa local con licencia de operación de la AMP para alquiler de yates, con contrato de fletamento temporal y permiso de navegación tipo chárter. Con solo el permiso de navegación de visitante, no.
En español: chárter con bandera extranjera
El Decreto Ejecutivo 4 de 2025 permite a la Junta Directiva de la AMP otorgar un permiso especial de navegación para chárter náutico a yates de registro extranjero puestos a disposición de una empresa local con licencia de operación vigente. Se requiere un contrato especial de fletamento temporal y cumplir las normas técnicas de seguridad. Confirme la tarifa vigente con la AMP.
The next question to answer
Flag, registration class and inspection, with a scenarios table. Read Which boats can charter in Panama.
Transit status, duty and selling a foreign yacht. Read Temporary vs full import.
What a visitor's permit covers and what it does not. Read The Panama cruising permit.
Same topic in Florida: coming from the US? Compare Foreign-Built Boats and Commercial Eligibility.
Official resources
Use the relevant Panamanian authority for current requirements and fees. These resources are the next place to check; a practical recommendation is not an agency determination.
- Gaceta Oficial: Decreto Ejecutivo 4 of 11 February 2025 (nautical tourism) ↗
- AMP: Resolución J.D. 089-2020, yacht chartering auxiliary maritime service ↗
- Pardini & Asociados: new regulations for superyachts and nautical tourism (secondary) ↗
- Kraemer & Kraemer: Panama yacht charter regulations (secondary) ↗