The Philippines is looking to attract long-term travelers. One solution: digital nomad visas.
In April, the Filipino government signed an executive order for the development of the digital nomad visa program. The plan is to woo quality travelers who respect sustainability efforts and benefit the country through high tourism spending and repeat visits, said Christina Garcia Frasco, Tourism Secretary of the Republic of the Philippines at the Skift Asia Forum.
Several Asian nations are getting into this market, including Japan, South Korea, Malaysia, Thailand, and Indonesia. According to Frasco, the Philippines has an advantage due to the widespread use of English and easy access to cities and beaches.
The tourism department has partnered with the department of information and communications technology to improve Wi-Fi, and they have covered more than 90 destinations across the country. Frasco said the country is working with regional offices and local governments to ensure tourist safety is a top priority.
The upcoming digital nomad visa will allow travelers to remain in the country for a year, but hopes to make longer stays possible.
On Direct Connectivity
The Filipino government is working on a public-private partnership model to develop airports and expand connectivity.
Frasco said, “We have made very conscious efforts to increase direct connectivity from all over the world, including flights from Paris to Manila and from Canada to the Philippines.” She added that she is hopeful of direct flights between India and the Philippines “very soon.”
Last month, the country’s flag carrier Philippine Airlines also agreed to consider expanding their existing partnership to enter into reciprocal code sharing agreements on flights between the Philippines and Dubai, and on select routes beyond the gateways of each partner airline.
The country is also working on expanding its direct connectivity to Australia, she said.
On Key Markets and Trends
In 2024, the Philippines recorded its highest-ever tourism receipts at about $13 billion. This was 26% above pre-Covid levels. However, the country also went through a “devastating loss” in tourist arrivals from the Chinese market. It targeted 2 million tourists from China, but only 300,000 came.
“The lesson that we learned from that is to really diversify our dependency into other markets as well,” Frasco said.
The Philippines is now targeting markets such as the Middle East, the Gulf nations, and India. It is also looking to strengthen its source markets in South Korea, Japan, the U.S., and Europe. The country has seen an average of 500-800% growth in tourist arrivals from the Middle East and Gulf countries, especially due to a strong expat population.
To cater to these tourists, the Philippines is also pushing to expand Halal and Muslim-friendly tourism portfolio. The department of tourism has been working on driving accommodations and resorts to be more Muslim-friendly, and it has collaborated with the department of trade and hotel and restaurant associations to increase the number of Halal offerings.
Since the beginning of the year, the country has also been recording an average of 22% month-on-month growth in the number of tourists from Australia. Moreover, the country’s top source market of South Korea continues to grow soundly.
On ASEAN Visa
For a long time, Southeast Asian nations have been discussing the possibility of an ASEAN visa along the lines of Schengen visa and the proposed Unified GCC Visa for Gulf nations. Frasco expressed her hope that it will again come up as a point of deliberation next year among the ASEAN block countries.
“Competition is always very healthy, but collaboration is healthier,” she said, when talking about the possible impact of the ASEAN visa.
The Philippines and Thailand have already signed a memorandum for their “Two Countries, One Destination” effort.
