Visitor visa reform unlikely to woo Asian ‘digital nomads’

Immigration advisors say the government's decision to loosen rules to allow tourists to work remotely for foreign companies while in New Zealand is more likely to appeal to visitors from Western countries than Asian travellers.

More stringent application processes and New Zealand's comparatively high cost of living are among main concerns, they say.

Economic Growth Minister Nicola Willis said Monday the new rules would aim to bring in high-value tourists, particularly IT specialists from the United States and East Asia.

But Sonny Lam, an immigration lawyer at Queen City Law, said prospective visitors from Asia who need to apply for a visitor visa before arriving in New Zealand could be deterred by concerns over the application process.

"There is a difference in the visa system," Lam said. "If you come from a visa waiver country, you don't need to apply for a visa. Visitors from the UK or America ... can just hop on the plane right now."

The situation was markedly different for visitors from Asian countries who need to apply for a visa.

"They are super fixated on the potential to work while possessing a visitor visa, and it was one of the reasons for a visitor visa being declined," he said.

Lam noted that New Zealand's high cost of living could also deter digital nomads accustomed to working and residing in more affordable Asian countries such as Indonesia, Thailand and Vietnam.

"There are largely two camps of people in the 'digital nomad' lifestyle," he said. "One is people who would like to work and live in a lower cost of living environment. The other are people who would like to work while having the freedom to travel around.

"We would probably be less appealing than certain parts of Southeast Asia because of prices being higher. At the same time, you will still see some interest from people who are in the second camp."

Lam predicted that New Zealand would see an influx of digital nomads from the United States.

"If we're looking at American digital nomads, the current New Zealand-US exchange rate is very favorable for Americans," he said.

"The cost of living in New Zealand will have less of an impact on those being paid in American dollars."

Malkiat Singh, a senior immigration adviser and founder of Carmento, said he had received dozens of inquiries from individuals in the United States who had expressed an interest in relocating to New Zealand.

However, he said many were seeking a dedicated, long-term digital nomad visa rather than relying on a visitor visa for a short-term stay.

"When you tell people it's not a new policy welcoming digital nomads, it's just [easing] existing visitor criteria to allow them to work, then they are not so excited anymore," he said.

Singh said the government should consider adjusting its tourism policy to offer longer visas to attract more digital nomads.

"Any general category visitor visa can be granted for (up to) nine months, which is not new policy," he said. "When someone wants to work remotely, they may rent a house and want to work in a settled manner with a rhythm and routine. If they can't even stay for a year, it doesn't make sense."

Singh suggested the government should also consider the needs of digital nomads with families, particularly those with children who may require access to education in New Zealand.

He said current visitor visa holders were not permitted to study in the country.

"We should truly make a digital nomad visa, which is a special visa with its own requirements and ... own benefits," he said.

Arunima Dhingra, chief executive and senior advisor at Aims Global, agreed, saying New Zealand should establish a clear digital nomad visa pathway like those offered by Greece, Spain and Colombia.

Dhingra suggested the policy included provisions for longer stays, income thresholds and streamlined visa processes to make New Zealand a more attractive destination.

She said the government should focus on making New Zealand more livable, affordable and investor-friendly, benefiting not only digital nomads but also other visitors seeking a place to live and work.

"New Zealand is not cheap," she said. "Digital nomads who choose places like Costa Rica, Croatia or Sri Lanka do so because they can stretch their money, not because they want to burn through it.

"With other countries offering digital nomad visas that include incentives like extended stays and lower living costs, New Zealand needs to rethink its positioning."

A spokesperson for Immigration Minister Erica Stanford said the government had no plans to introduce a long-term visa for digital nomads at this stage but would continue to assess the situation.

The spokesperson added that digital nomads with families needed to apply for appropriate visas to ensure their children could access education in New Zealand.

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