PETALING JAYA: Malaysia has joined the list of countries that issue visas for digital nomads, which is aimed at fostering mobility among digital professionals within the local tourism industry. The move has also been adopted by Thailand, Estonia, Malta, Croatia, Mexico, Spain and Portugal.

The visa for such travellers is part of the DE Rantau Programme promoted by Malaysia Digital Economy Corporation Sdn Bhd (MDEC), that started on Oct 1.

Digital nomads are those who live nomadic lives while using technology and the internet to work remotely. Such individuals usually do their work in rented premises, hotels, cafes, public libraries, co-working spaces or recreational vehicles/campervans, using Wi-fi, smartphones or mobile hotspots to access the internet.

While some are perpetual travellers, others are only nomadic for a short time. In Malaysia, the programme is open to local and foreign digital nomads or remote workers to cultivate a healthy digital ecosystem.

It was reported that DE Rantau received over 2,000 applications within 18 days after the launch of the programme and in its first phase, locations such as Penang, Langkawi, Kedah and Kuala Lumpur were named as digital nomad hubs.

It was also reported that the programme is expected to generate income of RM70 billion by 2025, and growth within the digital economy.

Malaysian Institute of Economic Research senior research fellow Dr Shankaran Nambiar said tapping into the digital nomad sector could be a catalyst for the country to emerge as a hub for the digital economy, especially with Malaysia’s plan to roll out 5G, adding that the move could also facilitate progress of Industrial Revolution 4.0.

He said digital nomads are a new class of workers who emerged after Covid-19 changed working styles and employees had to be more flexible to work from home.

“Having more digital nomads in the country would transform Malaysia’s image in the digital world.

“This means we would be seen as a preferred destination for remote workers.

“The programme would also increase the diversity of talent within the digital sector, which would help develop the industry in our country.”

He also said the inflow of digital nomads into the country would potentially generate opportunities for growth in the tourism industry while also boosting the economy through their spending, adding that he expects higher demand for “Small Office Home Office” developments, first at digital hubs and later throughout the country.

Meanwhile, World Trade Centre Kuala Lumpur group managing director Datuk Seri Dr Irmohizam Ibrahim said while the move to facilitate digital nomads would propel Malaysia as a hub for the digital economy, more needs to be done to create awareness among local talent and improve the infrastructure.

Irmohizam, who is also Conferences and Exhibitions chairman of the World Trade Centers Association headquartered in New York, and an advisory council member of the same association, said: “We need to diversify, especially in terms of platform and exposure to prepare the younger generation to face globalisation challenges and get involved with digital nomads or the digital economy.

“Our infrastructure needs to be upgraded and 5G implementation quickened so people can benefit from faster internet services.”