Tokyo has been crowned the world’s greatest city for a “workation” a combination of work and leisure by the International Workplace Group’s (IWG) third annual “Work from Anywhere Barometer.” The Japanese capital topped the previous winner, Budapest, and other global hotspots such as Barcelona, Paris, and Beijing.
Fast Internet, Culture, and Accessibility Drive Tokyo to the Top
The study of this report identified Tokyo’s rapid broadband, secure transport network, safety, and vibrant culture as major reasons for its first place. It also enjoys the advantage of being near mountains, coastal areas, and national parks, providing hybrid employees with a combination of city vibrancy and outdoor escapes.
Japan’s new digital nomad visa, launched in April 2024, allows high-earning foreign workers from 51 countries to stay for up to six months, extending coverage to spouses and children. Last year, 257 digital nomad visas were issued, and the trend is boosting tourism, supported by the weak yen.
Tokyo ranked especially high for its “cultural quality,” with the presence of many Michelin-starred restaurants and an active events calendar. The generally affordable food and services also played a role in its attractiveness as a destination for remote workers.
Global Trends in Work-from-Anywhere Destinations
The IWG report reveals that flexible working policies are increasingly influencing employee decisions: 78% of employees say that “work from anywhere” options are important when choosing a new role. Of hybrid employees, 87% say that flexibility enhances productivity, 85% say there is lower burnout, and 87% say there is better work-life balance.
Other high-ranking “workation” spots are Rio de Janeiro in second, Budapest third, then Seoul, Barcelona, Beijing, Lisbon, Rome, Paris, and Valletta. Rio’s ranking is due to citywide 5G, increasing numbers of coworking spaces, affordable costs of living, and picturesque beaches and rainforests that attract digital nomads.
The poll also grew this year with the addition of 15 new cities, including Seoul, Cairo, Cape Town, Melbourne, Rome, Mexico City, Orlando, Prague, and Reykjavik. Asian megacities Singapore, Jakarta, Manila, and Mumbai are also included in the world top 40, as hybrid work takes hold across parts of the globe.
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Workation: A Trend Here to Stay
IWG CEO Mark Dixon said that workations increased during the pandemic and are now becoming a sustainable trend. “Employees can work wherever and whenever is most convenient for them, whether that is in a local flexible workspace or in a co-working centre overseas,” he said. Dixon further said that longer trips enhance work-life balance, decrease burnout, and increase productivity.
Japan has also adopted this trend locally, equipping national parks with Wi-Fi so employees can work amidst nature and remain connected. The Japan National Tourism Organisation promotes working remotely by suggesting screen breaks outside, with easy things like coffee by a lake or watching birds to promote health.
As versatile working continues to redefine professional and travel options, Tokyo remains the ultimate destination where city living, culture, and natural splendor come together for the contemporary digital nomad.
