Could South Africa’s adoption of a remote working visa, to leverage the opportunities presented by a rise in the global digital nomad trend, be announced during this summer season?
Mireille Wenger, Western Cape Minister of Finance and Economic Opportunities, is hopeful. “It is good news that a report, containing recommendations on the adoption of a start-up and remote working visa, amongst others, is now with the South African Presidency for consideration.
“It would be a wonderful festive season gift for the South African economy if President Cyril Ramaphosa made an announcement on this new visa during our summer peak season,” she said.
Wenger noted that, with regard to the remote working visa, time was of the essence. “Other destinations have moved with pace to introduce this job-creating visa, including our neighbour, Namibia, and already they are benefiting from this being in place.
“There is also no need to wait for another year for its introduction, as was made clear in the Western Cape Government’s constructive proposal to the Department of Home Affairs, first submitted in May 2021 and again in September 2022,” Wenger emphasised.
She stressed that the longer South Africa waited to introduce the visa, the more the country would lose out on the clear digital nomad trend as well as the economic spin-offs from those who already have jobs elsewhere in the world and who are simply looking to enjoy their work from South Africa.
Fast-track the visa!
Others in the industry have been urging government to fast-track the visa, which has been widely touted as a highly effective and easy-to-implement intervention to grow the embattled sector.
National FEDHASA Chair, Rosemary Anderson, pointed out that almost 50 countries had introduced digital nomad visas, and South Africa was missing out on immense potential for income generation, investment and job creation.
“Mauritius and the Seychelles are capitalising handsomely by providing welcoming attractive visa application conditions. Many countries are bending over backwards to try to attract this new lucrative market and some are installing quality high-speed WiFi networks in rural areas needing an economic boost in order to encourage digital nomads to live and work from there,” said Anderson.
“We are being left behind and depriving many people of jobs, who otherwise would have been employed in this exciting new tourism market. So, as FEDHASA, we sincerely hope that the implementation of a welcoming and fair digital nomad visa system is introduced urgently.”
James Vos, the City of Cape Town’s Mayoral Committee Member for Economic Growth, highlighted recently: “Research indicates that digital nomads tend to stay in one destination longer than three months while spending up to R50 000 (€2 800) per visit.
“One report of a remote worker incentive programme in a city in Oklahoma in the US shows that these travellers generated nearly $20 million in additional local gross domestic product. With a special visa, South Africa stands to realise such gains.”