What Happened
The Panamanian government has issued Executive Decree No. 10 of April 16, 2026, establishing rules for the Transportes Terrestres Públicos Selectivos de Lujo, or luxury taxi service, requested through information and communication technologies. The new framework allows passengers to pay either electronically or in cash.
The Autoridad del Tránsito y Transporte Terrestre, known as ATTT, will handle registration, oversight and supervision of the service. The measure is designed to modernize selective transport and strengthen passenger safety while raising standards for comfort and quality.
Vehicle Requirements
Only vehicles that meet a strict set of conditions may operate in this category. Each unit must have a specific luxury taxi operating certificate and backing from an authorized transport organization. The vehicle must also be in excellent physical and mechanical condition, including air conditioning and seat belts.
The decree limits vehicle age to no more than seven years at the time service begins. Units must carry between five and seven passengers, display a platform or transport-organization sticker, and show an ATTT-issued plate with the letters “TL” followed by the corresponding provincial number.
Insurance is also mandatory. Operators must maintain current policies covering civil liability and passenger seat insurance.
Driver Standards
Drivers face their own set of requirements. They must be Panamanian nationals and hold a Type E-1 driver’s license. They are also required to present a record of minor traffic infractions and a police record showing no criminal sanction in the last 10 years.
In addition, each driver must have the endorsement of the transport organization where the vehicle is registered. Any failure to comply with these rules can trigger administrative proceedings and sanctions under traffic regulations.
What This Means
The new rules place digital-platform luxury taxis within a formal regulatory structure, giving the ATTT a clearer role in monitoring operations. For passengers, the framework is meant to improve service reliability, comfort and safety. For transport operators and drivers, it creates a more demanding compliance standard tied to vehicle condition, insurance, identification and personal background checks.
The decree also reflects a broader effort to make public transport in Panama more competitive by incorporating technology as a tool for easier booking and safer service. By setting national requirements for both vehicles and drivers, the government is seeking to organize a growing segment of urban mobility under one official system.