New Zealand has officially relaxed its visa regulations to attract ‘digital nomads,’ a strategy designed to enhance tourism and stimulate economic growth. While expectations are optimistic, there are also concerns regarding the potential impact of this initiative.
Under the government’s new visa initiative, visitors to New Zealand can now work remotely for a foreign employer while enjoying their stay for up to 90 days. After this duration, they may be subject to resident tax obligations.
Economic Growth Minister Nicola Willis expressed high hopes about this, stating that “the government’s ambition is that these new visa rules will put New Zealand on the map as a welcoming haven for the world’s talent. We want more of the world’s wealthy and super-talented people coming in those arrival gates.”
Immigration Minister Erica Stanford echoed these sentiments: “The change will enable many visitors to extend their stays, which will lead to more money being spent in the country.”
In a conversation with Morning Report, Tim King, the mayor of Tasman District Council, expressed that it was difficult to identify any negative aspects.
“For a region like us, we’ve got a very peaky tourism season, so flat-out busy over kind of December, January, and February, but the shoulder seasons, the balance of the year, are much less so,” he said.
Tim King stated that the existing infrastructure in the area should be utilised to its fullest potential throughout the year.
While some authorities may hold high expectations for the visa reform, others raise concerns, including a Barcelona-based writer, Marta Bausells, who pointed out that Spain has experienced over-tourism since the introduction of a similar visa in 2023.
“Barcelona was already struggling with the effects of mass tourism, so it was already kind of overcrowded in that sense,” Bausells told Morning Report.
She reported that rents in Barcelona have surged by 60% over the past five years, and due to this increase, “people are being pushed out of the city.”
“It’s a quick and extreme case of gentrification because digital nomads get paid salaries from their much wealthier European countries, or the US, or other places, but they get much higher salaries than locals.”
In 2024, Barcelona garnered international attention as approximately 3,000 residents protested against tourism and paraded with slogans, “Enough, let’s put limits on tourism” and “Tourists go home.” Some used water guns to spray visitors sitting at restaurants.
The protest was due to the lack of affordable housing, which they blame on short-term rentals and overcrowding from the cruise industry.