Digital nomad life can look simple from the outside, with a laptop, a reliable internet connection and the freedom to work from almost anywhere. In practice, moving abroad as a remote worker can involve visas, tax registration, banking, healthcare, connectivity and a long list of administrative tasks. A new study suggests that some countries make this transition considerably easier than others.
Holafly’s Digital Nomad Friction Index 2026 examined 17 popular destinations for remote workers, measuring the practical difficulties they may face after arriving. The study considered factors including visa complexity, banking access, healthcare, internet connectivity, cost of living and exposure to disruption risks, combining them into an overall friction score.
According to Holafly, the research was designed to look beyond the initial process of entering a country. Metin Kastro, the company’s COO, said that the greater difficulty for remote professionals often comes after arrival, when bureaucracy, lost working time and unreliable internet can begin to affect their daily lives.
Georgia recorded the lowest friction score in the study, putting the Caucasus country in first place. The report highlights the absence of mandatory residence registration and a tax ID requirement as two reasons for its position. It also says that foreigners can open a bank account using only a passport, with the process potentially taking just a few hours.
Peru ranked second. The country benefits from its Rentista residency category, which the study identifies as allowing indefinite permanent residency for applicants who meet its income requirements. Peru did not take the top position because of its exposure to earthquakes and El Nino, which contributed to its overall disruption risk.
South Africa was third. According to the index, non-residents do not face mandatory address registration or a tax ID requirement, reducing some of the administrative work involved in establishing themselves in the country. Its position was affected by a below-average healthcare score in the study.
Thailand and Malaysia completed the top five. Both countries have visa programmes designed to accommodate digital nomads and other remote workers, while the report describes their banking requirements as presenting a moderate level of difficulty. Natural disaster exposure was among the factors that reduced their overall scores.
Vietnam ranked sixth, just ahead of the European countries that made the top 10. Croatia placed seventh, followed by Hungary in eighth and Portugal in ninth. The United Arab Emirates completed the list in tenth place.
Croatia, Hungary and Portugal were the only European countries among the first 10 destinations in the index. Each has a visa route aimed at digital nomads, although administrative requirements remain a factor. The study points to registration and tax ID requirements in some of these countries as examples of the additional steps that can increase friction for remote workers.
The rankings illustrate that choosing a country as a digital nomad is not simply a question of finding an attractive place to live or a relatively low cost of living. The practical details of everyday life can become just as important once a remote worker has moved abroad. Opening a bank account, dealing with residency requirements, accessing healthcare and maintaining a dependable internet connection can determine how smoothly the arrangement works.
The Best European Countries for Digital Nomads in 2026: Estonia Leads a Ranking of 40 Countries
The Holafly index is based on the company’s analysis of 17 destinations, so it should be viewed as one assessment rather than a definitive measure of every country’s suitability for remote workers. Individual circumstances can also change the experience considerably, particularly depending on nationality, income, length of stay and the type of residency or visa available.
Still, the results point to a clear pattern in the destinations included in the study. Countries that reduce administrative requirements and make basic services easier to access tend to create fewer obstacles for people trying to build a working life abroad. For digital nomads, that practical side of relocation can matter just as much as the destination itself.
