Panama is widely recognized as a jurisdiction that upholds the legality of VPNs for personal and business use. There are currently no laws that explicitly ban or restrict the use of Virtual Private Networks within the country. This absence of prohibition allows residents and visitors to freely utilize VPN services to enhance their digital privacy and secure their internet connections. The country’s legal framework generally supports the right to private communication, making it a favorable environment for those seeking online anonymity (1).
The government has established frameworks to manage digital security without infringing on user rights. The National Cybersecurity Strategy focuses on strengthening the country's digital infrastructure while maintaining respect for individual liberties. Unlike some nations with strict data retention mandates that compromise user anonymity, Panama’s approach emphasizes the protection of fundamental rights in the digital sphere. This commitment to balancing security with privacy safeguards ensures that the use of encryption tools like VPNs remains a lawful activity for citizens (2).
"This strategy is structured around four fundamental pillars: Protecting privacy and fundamental rights: Ensuring the safeguarding of citizens' privacy and fundamental rights within cyberspace. Deterring and punishing cybercriminal behavior: Implementing measures to prevent and penalise criminal activities in the digital realm."
International organizations verify the country's commitment to a free and open internet. Reports indicate that freedom of expression and the press are protected by the constitution, and the government generally respects these rights in practice. While there are legal provisions regarding telecommunications data, they do not impede the individual's right to use VPNs for legitimate purposes. Consequently, users can confidently employ VPN technology to protect their data from surveillance or cyber threats within the Panamanian jurisdiction (1).
Source:
https://freedomhouse.org/country/panama/freedom-world/2024
https://dig.watch/resource/panamas-national-cybersecurity-strategy-2021-2024
Last updated: 14-01-2026 Disclaimer: This article does not provide legal advice. If you need legal advice, please contact an attorney directly.