Panama's foreign ministry issued a statement expressing "energetic protest" against Nicaragua's government for allowing this, and demanded compliance with international obligations.

Martinelli, a 71-year-old former Panamanian president and supermarket tycoon, has been seeking refuge in the Nicaraguan embassy since February after being granted asylum by the Nicaraguan government.

He has accused the current Panamanian government of corruption and political prosecution against him.

Last month, Martinelli appealed a ruling by the electoral court that disqualified him from running in May's presidential election due to his nearly 11-year prison sentence for money laundering.

Panama's constitution prevents anyone with a prison sentence of five years or more from serving as president.

Martinelli served as Panama's president from 2009 to 2014.