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    Home»Financial Technology»New Zealand Introduces Rule Changes to Welcome Digital Nomads
    Financial Technology

    New Zealand Introduces Rule Changes to Welcome Digital Nomads

    FintechFetchBy FintechFetchFebruary 21, 2025No Comments4 Mins Read
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    New Zealand has introduced changes to its visitor visa rules, allowing tourists to work remotely for overseas employers or clients while staying in the country.

    The changes, which took effect on January 27, 2025, aims to boost tourism and economic growth while addressing the global trend of remote work, Nicola Willis, the Minister of Finance, Minister for Economic Growth and Minister for Social Investment, said.

    Unlike most countries which introduced special visas for digital nomads and remote workers, New Zealand has opted instead to integrate this scheme into its existing visitor visa system.

    The new rules allow foreigners visiting New Zealand on an ordinary tourist visa to continue working for their foreign employer without breaching their visa conditions. Visitors from visa waiver countries, such as US, the European Union (EU), Japan, South Korea, Argentina and Israel, are also eligible.

    Rules: Digital Nomad Visa New Zealand

    The rules apply to all visitors, including tourists and people visiting family, and partners and guardians on longer-term visitor visas.

    However, to benefit from the changes, visitor visa holders must meet specific conditions. These include not working for a New Zealand employer, not providing goods or services to people or businesses in New Zealand, and not engaging in work that requires them to be physically present at a workplace in the country. Visitors that meet any of these criteria must apply for the relevant visa.

    To further attract remote workers, Willis said that the allowable stay for tourists has been extended. Initially, visitors could extend their stays from three to six months. This has been expanded to up to nine months. She said that allowing tourists to stay longer can benefit the economy, especially since tourism hasn’t recovered to pre-COVID levels.

    According to figures from Tourism New Zealand, tourist arrivals stood at 86.3% of pre-pandemic levels in late-2024. In particular, arrivals from China were just 53.3% of 2019 levels, while arrivals from Japan reached only 68.7% of pre-COVID figures.

    Addressing workforce challenges with Digital Nomads New Zealand Visa

    Accommodating digital nomads could also help New Zealand attract highly skilled people to the country who may want to live there beyond the term of their visa.

    According to recruitment firm Robert Walters, New Zealand is facing significant challenges in its labor market due to increasing emigration, skills shortages, and shifting workforce dynamics.

    Many New Zealanders are moving overseas due to limited job opportunities and low salaries, leading to a potential long-term loss of highly skilled workers, particularly in the tech sector. A survey of top-200 tech sector companies by the Technology Investment Network (TIN) indicates about 47% of all workers are based overseas, with healthtech workers making up the largest group, followed by IT support workers, software solutions and fintech.

    The report also highlights the growing demand for entry-level and junior management talent, with many industries struggling to find qualified mid-senior level managers and executives. It also notes a shortage of soft skills, such as communication, collaboration and negotiation, especially among younger workers.

    Finally, the rise of artificial intelligence (AI) is driving demand for new skills, particularly in integrating AI with IT, finance, and engineering.

    The rise of digital nomad visa schemes

    New Zealand’s move to welcoming remote workers aligns with global trends. According to a 2023 analysis by the World Tourism Organization covering 54 destinations, 47% of these locations offer visas for up to one year.

    In Southeast Asia, several nations have introduced attractive visa schemes for remote workers. Thailand unveiled in May 2024 the Destination Thailand Visa (DTV), a five-year multiple-entry visa program. The scheme allows visa holders to live and legally work remotely while in Thailand without needing to pay any taxes on income derived from foreign sources.

    There is currently no specified minimum income for the DTV. However, applicants must prove that they can financially support themselves in Thailand for six months, and hold at least THB 500,000 (US$13,665) in their bank account.

    Indonesia offers a one-year temporary residence permit for remote workers. The Remote Worker Visa (E33G) Program, launched in April 2024, allows eligible foreign nationals to reside in Indonesia while working remotely on behalf of employers located outside the country for up to one year initially, with the possibility of renewal for an additional year.

    In order to be eligible for this visa, applicants must hold a passport that is valid for at least six months, have a bank statement with a balance of at least US$2,000 for three months leading up to the filing of the application and earn a minimum annual income of at least US$60,000.

     

    Featured image credit: edited from freepik





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