The Misfortune of Growing Old in Panama.

“There is a dreadful narrative being promoted by some politicians, officials, and even members of parliament about workers reaching retirement age and the elderly.   According to these theorists of the new and the old, older adults (of various ages and generations) are a “burden” on society, and this is a radical departure from that notion. With the passage of time, age brings wisdom, serenity, common sense, and experience.  Instead of trying to punish, isolate, or discriminate against the elderly, we need to build public policies to protect those who are great-great-grandparents, great-grandparents, grandparents, mothers, and fathers.”

As a news reporter for Newsroom Panama, we are seeing this point of view recently in stories about seniors who may be receiving upgrades to their discounts throughout Panama because of BILL 226.  The bill passed its third debate in the National Assembly by a vote of 47 to 1.  I wonder who that one politician was.  The Chamber of Commerce and some other groups are applying pressure on President Mulino to put a stop to these increased discounts for seniors.  They have put the President in a difficult situation.  We always called it, ‘between a rock and a hard place.’   Here is the legislation.

Panama’s National Assembly approved Bill 226 in late August 2026 to expand and increase the famous retiree and senior discount framework under Law 6 of 1987.

Key Updates in Bill 226

• New Categories Added: The updated law introduces mandatory discounts for internet services, car insurance premiums, and bank loan closing costs.

• Expanded Essentials: It enhances relief on daily living costs, targeting utilities, medical supplies, and digital access like cellular data.

• Eligibility: These ongoing benefits apply to all qualifying senior citizens, retirees, and resident foreign expats living in Panama.

• Current Status: The bill passed its third debate in the National Assembly by a vote of 47 to 1 and currently awaits formal presidential sanction before it officially becomes law.

The main group actively fighting to stop the proposed increases to senior discounts in Panama is the country’s private business sector, led prominently by The Chamber of Commerce, Industries and Agriculture of Panama (CCIAP).   The opposition centers around Bill 226 (an amendment to the historic Law 6 of 1987), which was passed by the National Assembly and expands mandatory discounts for retirees, pensioners, and senior citizens and of course that includes Expats with Pensionados, across utilities, restaurants, medical care, and telecom services.  Business groups are attempting to block the implementation of these increases through several arguments and strategies:

1. Petitions for a Presidential Veto

The CCIAP formally requested that President José Raúl Mulino veto Bill 226 in its entirety. They argue that forcing businesses to swallow steeper discounts violates fiscal responsibility and places unfair financial strain on the private sector without public funding.

2. Economic Burden on Small Businesses (MSMEs)

Commercial associations point out that these mandates act as an indirect tax on merchants. The business sector highlights that forcing a restaurant or store to cut prices by up to 30–35% directly eats into profit margins. They argue this will disproportionately harm micro, small, and medium-sized enterprises (MSMEs) that do not have the cash flow to absorb the losses.

3. Criticisms of “Populist” Legislation

Economic commentators and business unions have labeled the bill “populist”. They argue that the National Assembly passed the law to score political points without properly mapping out where the funding resources would come from or allowing the business sector a fair seat at the table during the initial drafting debates. While the executive branch has since called on business guilds (gremios) and retirees to find middle-ground agreements, commercial groups remain unified in trying to prevent the bill from being signed into law.

I received a “Letter to the Editor” recently from Bill Rogers on the subject, and I would like to post it here for your perusal.  The President of our country of Panama will have to make the final decision, but it is a controversial subject where we can all see both sides of the argument.  Thank you readers for writing to us.  We always appreciate hearing from you.  We do our best to always reply, but we no doubt have missed a few along the way.  Here’s Bill…………

“It appears that there is a fuss about the Jubilado discount these days. Yes it is a benefit of spending time in Panama BUT I have witnessed fat rich Canadian and American seniors DEMANDING their entitled discount on a bowl of soup in small mom and pop restaurants.

To my knowledge they get nothing back from the government in the way of tax concessions or anything. I can see the benefit for the local seniors but with the escalation of costs for everything do we really need to raise hell about the discount on our pizza?

I used to love going to the little restaurant on the highway for a car wash and detail $5, plus a bowl of sancocho with a side of rice and a coke. Car wash and lunch 11 bucks plus tip. No I didn’t ask for a discount and was always treated like a valued customer :-)

Yes it’s been a while now :-(

I think there is a story here worth real investigation. How much is actually left in the till when you get a 15 to 25% discount on your $12 dollar plate of Corvina?

Bill Rogers

Back in Canada”