UAE clinches second position on list of best places for digital nomads in 2025. Not surprising though

The UAE currently occupies the second position on the list of best places for digital nomads in 2025, ranking higher than Montenegro and the Bahamas.
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Digital Nomad Ranking
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The UAE is one of the most happening tourist destinations. But thousands of people from across the globe are also flocking to the Gulf state to remain as residents. It is not surprising if the UAE one day emerges as one of the best places for digital nomads.

Henley & Partners recently released a detailed report highlighting some of the most important millionaire migration trends for 2025. The number of richie rich people expected to relocate to the UAE is 2,000 more than the US in the second place.

best places for digital nomads
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The UAE is maintaining its position as the leading millionaire magnet. But this incredible feat should not be completely surprising as the Gulf state is supporting in terms of lifestyle, business, strategic positioning and the sun.

The UAE’s immigration policies should also be taken into consideration. You can find a beneficial tax setting in the country, political stability, state-of-the-art infrastructure, scores of things to do to remain occupied and a beautiful community feel.

Is UAE a better place for digital nomads?

The UAE currently occupies the second position on the list of best places for digital nomads in 2025, ranking higher than Montenegro, Bahamas, Hungary and Canada. Spain is the only country on top of the UAE, securing a digital nomad score of 5.

RankCountryInternet Speed ScoreDigital Nomad ScoreTaxesTax Free PeriodCost Of Life Score
1Spain79.74519% to 24%No tax free period91.27
2UAE1004.140%Full visa length84.91
3Montenegro27.543.980% to 15%No tax free period93.51
4Bahamas19.793.590%Full visa length72.47
5Hungary66.113.5115%6 months93.10
6Canada71.703.4315% to 33%6 months84.34

Source: VisaGuide Digital Nomad Visa Index

You can also find Romania, Portugal, Brazil and Curacao in the top 10 places for digital nomads list. This list, prepared by VisaGuide Digital Nomad Visa Index, takes into consideration a number of things to reach the conclusion, including:

  • internet speed
  • income requirements for visa applications
  • taxation policies
  • tax free period
  • healthcare score
  • tourism popularity
  • cost of life score

These factors combine to form a normalised score. The formula balances different factors, prioritising internet speed, tourism popularity and tax free period, but also considering the cost of life score and people’s accessibility to a digital nomad visa.

Leading a digital nomad life? It is time to shift to UAE for these reasons

Upon checking the table in the earlier section, there is a list of factors that let the UAE top the charts. You can see the Gulf state securing a 100 on the Internet Speed Score. This is remarkable and definitely the need of the hour.

People leading the laptop lifestyle prefer high-speed internet compared to a lousy cup of coffee. It is that precious. Second, let’s understand the tax scene here. Digital nomads in Dubai, Sharjah or the broader UAE do not need to pay taxes.

The tax free period is also the full visa length. These policies turn the UAE into a bigger and more popular destination for digital nomads from across the globe. The country came on the fourth position back in 2023, but made a leap to the second in 2025.

Next, coming to the cost of life score, the UAE has secured 84.91 and a digital nomad score of 4.14 – compared to Spain’s 91.27 and 5 in the same order. In the healthcare score and tourism popularity, the UAE is at 43.03 and 20.45.

UAE Virtual Work Residence Visa: Getting things started

Recognising early the importance of attracting digital talent to the country, the UAE launched a one-year virtual work visa back in 2021, becoming one of the first countries on the planet to create one of the best settings for digital nomads.

This visa is useful as it makes it possible for digital nomads to reside in the UAE and continue remotely work for companies abroad. This means you get all the perks of city life, a luxurious setting, scenery and memorable dining, and there is no need for a local job hunt.

Let us get into the details of this policy for digital nomads in the UAE. Foreigners employed outside the UAE can live here legitimately using the virtual work residence visa. You can enter the country under self-sponsorship.

To apply for this visa, you need to submit proof that you are a remote employee for an organisation outside the UAE and that you get a monthly income of at least $3,500 or its equivalent in a different currency. You can find more details here.

  • one-year visa permitting residency in UAE
  • no need for a UAE sponsor
  • access to utilities and services
  • ability to sponsor family members
  • access to schooling for dependants
  • unrestricted travel to and from UAE

Before starting the application process, make sure that your passport has a minimum of 6 months’ validity. It is, nonetheless, recommended to keep a passport valid for more than a year to avoid having to update it at the time in the UAE.

Keep a health insurance, valid for the UAE for at least one year. You can keep a travel insurance as long as it includes the necessary benefits. Proof of employment from the current employer and a minimum one-year contract.

You should also arrange a statement that your job can be done remotely. There needs to be a proof of salary of at least $3,500 per month or its equivalent in a different currency. Please include appropriate bank statements and other personal documents, too.

Do you still think digital nomadism is not a real thing?

The pandemic definitely supported the trend but more employees are also seeking to better balance their professional and personal lives. Today, nearly 40 million people across the globe identify as digital nomads – more than the population of Canada.

This is incredible. It has been estimated that by 2035, the number of digital nomads on the planet could rise to a humongous 1 billion people – because of high-speed internet, smart modern technology and more need for flexible work-life balance.

The UAE is definitely just getting started. Putting smart policies, great lifestyle standards, high-speed internet and other modern technology, next-generation infrastructure, safety and accessibility to optimum use, this country is ruling the digital nomadism space.

Dubai is the perfect place for digital nomads

Imagine filling up a spreadsheet at one moment and coming to the paddleboard in the next. Dubai is redefining the digital nomadism industry for all. You can find plenty of sunshine, too, keeping one’s mood super-charged.

Dubai is also one of the most accessible destinations. It has a strategic position on the global map. It is a fact that a big chunk of the globe is accessible from Dubai in less than four hours. Isn’t it incredible?

Dubai is the perfect place for digital nomads
(C): Unsplash

This means if you are holding a remote job back in London but are here in Dubai for a change, the timings are not going to be that different. There is a four-hour time difference (three during British Summer Time), making it easy to be part of European schedules in Dubai.

Dubai is super safe and its broad range of lifestyle offerings is unmatchable. The city puts on a different look at the sun sets, facilitating a nightlife scene that is no less than irresistible. You can also be part of incredible concerts and top-ranking tournaments.

Plus, Dubai is quite near to different landscapes. There is a beautiful coastline, featuring a number of public and private beaches. But one can also escape into the majestic Hajar Mountains in a short time or explore a breathtaking mangrove forest, too.

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