On Monday, New Zealand relaxed its visa requirements for remote workers, allowing visitor visa holders to work remotely for foreign employers while staying in the country for up to 90 days, according to the Sydney Morning Herald.
This policy targets digital nomads—people who travel freely while working online because they are not required to be in a certain place—The Guardian reported.
Economic Growth Minister Nicola Willis stated that the new visa policy is part of the government's plan to unlock New Zealand's potential by shifting the country onto a faster growth track. "Making the country more attractive to 'digital nomads' will enhance our appeal as a destination," said Willis.
Immigration Minister Erica Stanford emphasized the policy’s potential economic benefits. "The change will enable many visitors to extend their stays, which will lead to more money being spent in the country," said Stanford.
The new visa conditions will allow visitors to work from New Zealand for an employer or client that is in another country, which was previously prohibited. Visitor visa holders must not work for a New Zealand employer and are prohibited from providing goods or services to New Zealand businesses.
Visitors whose work requires physical presence in New Zealand will still be required to obtain appropriate work visas, including those such as sales representatives of overseas companies and performers.
Tourism Minister Louise Upston emphasized the importance of staying competitive in the global trend of digital nomad visas. "Many countries offer digital nomad visas and the list is growing, so we need to keep pace to ensure New Zealand is an attractive destination for people who want to 'workcation' abroad," said Upston.
New Zealand is following in the footsteps of numerous other countries that have introduced visa programs for digital nomads in recent years, including Portugal, Spain, Germany, Thailand, Indonesia, Japan, South Korea, and Brazil.
Approximately 200,000 people work in the tourism industry in New Zealand, contributing nearly $11 billion annually to the economy. The new visa initiative aims to boost the sector by attracting visitors who stay longer and spend more.
The new visa rules are effective immediately and apply to all visitor visas, including those for tourists, family visitors, and partners or guardians on long-term visas. Visitors who extend their stay must pay taxes in New Zealand starting on the first day of their arrival. New Zealand authorities said that if a person's income is taxed elsewhere, New Zealand will exempt it from tax if the person does not spend more than 92 days in New Zealand in a 12-month period, according to The Independent.
New Zealand's tourism sector, with a contribution of $37.7 billion, is still catching up from the COVID-19 crisis, although international visitors are expected to spend around $6.3 billion in the year ending March 2024.
"We hope that, in some cases, this will encourage these people and the businesses they represent to consider doing more business with New Zealand in the future," said Willis.
This article was written in collaboration with generative AI company Alchemiq