Cyprus has issued more than 500 digital nomad visas since the scheme was launched on October 15, 2021, as part of efforts to position the island as a hub for remote workers and strengthen its technology-driven business ecosystem.

According to the Deputy Ministry of Migration, 518 permits had been granted by the end of June 2025, together with 389 for family members.

The programme experienced its busiest year in 2023, when 371 new applications were filed, before interest slowed in 2024 and the first half of 2025.

Renewals remain strong, with 306 digital nomads opting to extend their stay, while the approval rate continues to exceed 92 per cent.

Russian nationals account for the majority of applicants, followed by citizens of Israel, the United Kingdom, Belarus and Ukraine.

Family permits follow a similar trend, with Russians in the lead, followed by Israel, Lebanon, the United Kingdom and Belarus.

The scheme targets non-EU and non-EEA nationals who can work remotely using various technological means, either as employees of foreign companies or as self-employed individuals serving clients abroad.

Applicants must prove a stable net monthly income of at least €3,500 after deductions and submit their applications within three months of arrival.

Successful candidates receive a one-year temporary residence permit, renewable for a further two years, while family members may also reside in Cyprus but cannot work.

If they spend more than 183 days in Cyprus in a single tax year, they are considered tax residents, provided they are not tax residents elsewhere.

The application process typically takes five to seven weeks and carries a fee of €70 for the residence permit and €70 for first-time registration.

Another relevant development is the implementation of the European Union’s Blue Card scheme in Cyprus, which broadens the island’s toolkit for attracting international talent. Cyprus began accepting applications for Blue Cards on July 7, 2024.

The Blue Card is a residence permit allowing highly skilled third-country nationals to live and work in Cyprus, provided they hold a recognised higher education qualification or equivalent professional skills.

Eligible sectors include information and communication technology, research and innovation, economics, finance, healthcare, pharmaceuticals, and shipping, excluding vessel crews.

Cardholders benefit from competitive salaries, access to social rights, and favourable family reunification rules.

They may also move to another EU member state for work after 12 to 18 months and can apply for permanent residence after five years.

However, strict income and qualification requirements make the scheme selective, and applicants must initially remain with one employer.

In addition, Cyprus is not yet in the Schengen area, which limits mobility compared to other participating countries.

Still, the measure is expected to help fill skills gaps, strengthen the labour market and enhance Cyprus’ competitiveness in the global talent race.

Importantly, digital nomads have a measurable impact on the economy, with studies by Ernst & Young and Nomad List estimating monthly spending of €1,600 to €2,200 per person.

“If the framework of the Digital Nomad Visa is fully utilised, the direct annual contribution is estimated to exceed €10 million,” said Andreas Alexi, officer at the Cyprus Chamber of Commerce and Industry, earlier this year.

He also explained that the real benefit lies in the connections nomads create with local SMEs and the technology ecosystem.

Real estate, telecoms, catering, wellness and transport sectors are among the main beneficiaries, while demand is also rising for coworking spaces and B2B services such as IT support, consulting, accounting and tax planning.

Around three quarters of digital nomads are freelancers or self-employed, a factor that encourages networking and business synergies.

However, challenges are emerging. Rents have risen considerably in Limassol and Paphos over the past two years as demand for accommodation grows.

Gaps in legislation on taxation, residence and social security create obstacles for newcomers, while rising living costs put pressure on students and young families.

Cyprus’ current cap of 500 permits was reached in 2023, and with no new quota announced, applications are effectively suspended.

Alexi warned that this risks leaving Cyprus behind, as more than 43 jurisdictions worldwide now offer dedicated digital nomad visas.

Spain grants a renewable three-year permit, Portugal offers up to two years, and Thailand has introduced a ten-year residence option.

Estonia was the first EU country to launch such a visa in 2020, followed by Greece, Malta, Hungary and Italy.

Meanwhile, Greece is emerging as a case study for how to attract remote workers, with Athens ranked twelfth globally in the Work from Anywhere Barometer 2025 for offering the best mix of work and leisure.

The city also ranks twenty-fifth worldwide for digital nomads according to Nomad List, thanks to its international connections, accessibility and vibrant cultural life.

Coworking spaces are thriving in central neighbourhoods such as Koukaki and Pangrati, supporting a growing community of professionals.

Greece is also ranked among the ten most affordable countries in Europe for digital nomads, based on cost of living, rent, internet speed, visa costs, length of stay and safety.

Beyond Athens, cities such as Thessaloniki and Heraklion, as well as islands including Naxos, Rhodes and Corfu, are drawing remote workers with improved infrastructure, gastronomy and fast internet.

New “remote villages” are being created where nomads collaborate, exchange ideas and form small communities.

Countries that are most attractive to digital nomads share common features such as reliable digital infrastructure, affordable living costs, clear visa rules, quality of life and safety, as well as a stable economy.

Elsewhere in Europe, Spain combines an affordable lifestyle with excellent technological infrastructure and a warm climate.

Portugal is known for its low cost of living and thriving digital nomad communities in Lisbon and Porto.

The Netherlands offers robust infrastructure, a high standard of living and visa benefits.

Canada is praised for its quality of life and economic stability, while Germany offers advanced infrastructure and liberal visa policies.

For Cyprus to remain competitive, stakeholders argue that it must address housing pressures, expand its quota for digital nomad visas, and promote the island internationally as more than just a tourist destination.

“The country must acquire a coherent and targeted identity, promoting Cyprus not only as a tourist destination, but as a European island of innovation and creativity,” Alexi said.

Another important aspect that has been highlighted by a growing number of digital nomads is that importance of community, which has been described as being at the heart of meaningful experiences for remote workers.

Without it, many workers have said, travel can feel hollow, resulting in a cycle of consumption without connection or purpose.

True fulfilment comes when individuals can contribute, collaborate, and share skills with others in a lasting network, rather than simply moving from place to place.

For destinations like Cyprus, which aims to attract remote professionals, fostering spaces that encourage interaction, shared projects, and cultural engagement is essential.

Therefore, Cyprus should think how it can integrate community-driven initiatives, co-living, and collaborative hubs into its overall approach and strategy.

This way, it can separate itself from the pack by transforming digital nomadism from a transient lifestyle into an enriching, mutually beneficial ecosystem where both visitors and locals thrive.