TOKYO, JAPAN — Tokyo has claimed the top spot as the world’s best city for a “workcation” in 2025, according to the latest International Workplace Group (IWG) report.
The flexible workspace operator’s “Work from Anywhere Barometer” ranks global cities where travelers can effectively combine work and leisure, measuring 12 criteria from broadband speed to sustainability.
Tokyo’s win was attributed to its “exceptional” broadband speed, world-class transport infrastructure, high safety levels, rich cultural offerings, and a newly introduced digital nomad visa.
IWG also highlighted Tokyo’s “proximity to mountains, coastal regions, and national parks – ideal for hybrid workers seeking an exciting urban atmosphere alongside natural escapes.”
How IWG ranks the world’s best workcation cities
IWG evaluated 40 countries on 12 factors, including climate, accommodation, food quality, transport, cost of living (measured by average cappuccino prices), happiness, access to flexible workspaces, cultural quality, visa availability and price, and sustainability.
This year’s report introduced the availability of digital nomad visas and proximity to natural attractions as new criteria. The digital nomad visa plays a crucial role in the rankings; it allows remote workers to legally reside and work outside their home country.
According to IWG, 86% of hybrid workers consider flexible workspaces vital when choosing their workcation destination.
Top global cities competing for workcation travelers
Tokyo’s rise comes with Seoul, Rome, Paris, and Valletta entering the top 10 list for the first time.
Seoul stood out for its “ultra-fast internet, efficient public transport, and a thriving digital nomad community supported by South Korea’s digital nomad
Budapest dropped from first to third but remains loved for its vibrant food scene and high happiness index.
Other top cities include Rio de Janeiro, Barcelona, Beijing, Lisbon, and Valletta. Singapore continues to be a favorite in Asia due to its advanced 5G network, urban mobility, and green spaces.
Emerging workcation hotspots mentioned in the report include Mexico City, Cape Town, Prague, Melbourne, Orlando, and Reykjavik, all noted for strong digital nomad support and access to nature.
Mark Dixon, IWG founder and CEO, said, “Thanks to hybrid working and cloud technology, employees now have the freedom to work wherever and whenever suits them best.” Dixon believes the future of work isn’t about returning to the office, but about flexibility and breaking free from traditional office models altogether.
AloJapan.com