My 7 Predictions For Global Mobility In Italy For 2024
As we approach the conclusion of another year, I’d like to reflect on the anticipated trends for global mobility in Italy in 2024. These predictions are based on the developments observed this year and my expectations for their continuation into the next year.
- Non-EU Retirees and Elective Residency Visa: Italy continues to be a prime destination for non-EU citizens seeking retirement. The demand for the Elective Residency Visa is expected to remain strong. However, I foresee a more meticulous vetting process in 2024, underscoring the importance of submitting well-prepared and clear applications. Healthcare quality, which varies significantly across different regions and cities, is a major consideration for retirees. Therefore, it’s advisable to conduct thorough research to identify the most suitable location in Italy, especially if healthcare is a top priority.
- Growth in Innovative Startups: The coming year is likely to witness an upsurge in professionals aspiring to launch startups in Italy. With the financial entry threshold now set at a manageable €50,000, the Italian Startup Visa has become increasingly attractive. The visa application process is streamlined, and processing time is typically within 30 days post-documentation completion. Italy’s supportive startup ecosystem, offering benefits such as fee waivers, flexible labor laws, tax reliefs, equity crowdfunding opportunities, bank loan guarantees, international support, and a fail-fast mechanism, presents fertile ground for burgeoning enterprises.
- Housing Market Dynamics in First-Tier Cities: Cities like Rome, Milan, and Florence are expected to continue experiencing high demand for both long- and short-term rentals. Landlords in these major markets will likely enjoy a competitive advantage due to the high demand for properties. Platforms like Airbnb, which have had a significant impact on the housing market in first-tier cities and made it difficult to find suitable properties, are partially responsible for this trend.
- Missed Opportunities for Digital Nomads: Unlike some European counterparts, Italy might continue to overlook the potential benefits of attracting digital nomads. The stalled implementation of the Digital Nomad Visa, initially planned for March 2022, remains a barrier. This is unfortunate, as digital nomads could significantly contribute to revitalizing small towns seeking to replenish their populations.
- 7% Tax Program for Retirees: This initiative is likely to maintain its appeal, offering retirees the chance to reside in some of Italy’s most picturesque locations. The program, aimed at repopulating Italy’s rural south, offers a flat 7% tax rate for pensioners receiving their pension from abroad. This tax incentive is intended to rejuvenate small villages and towns, enhance local economies, and encourage the retention of young people in these areas. The list of eligible locations for this program was expanded in 2022 to include certain villages in the regions of Lazio, Marche, and Umbria, in addition to the ‘Mezzogiorno’ regions (Sicily, Calabria, Sardinia, Campania, Basilicata, Abruzzo, Molise, and Puglia) in southern Italy.
- Emerging Work & Business Opportunities: Italy presents numerous untapped opportunities in various sectors. Particularly with one of the oldest populations in Europe, there’s a growing demand in Italy for careers in nursing, senior care, and physical therapy. Additionally, the rising interest in sustainable energy sources like solar power offers lucrative prospects for solar panel installers. Keeping abreast of the evolving Italian market reveals other in-demand roles such as data scientists, counselors, childcare professionals, and social workers. Reskilling and upskilling are key to capitalizing on these new opportunities as Italy transitions from traditional job roles to those meeting current market demands.
- Investment Potential in Underrated Cities: Beyond the popular destinations of Rome, Florence, and Venice, I see a growing trend for lesser-known Italian cities that offer compelling investment and relocation opportunities. These include cities like Lecce, Matera, Perugia, Pescara, Tropea, Trani, Genova, Trieste, Treviso, Termoli, Siracusa, and Viterbo. Benefits of considering these underrated cities include affordability, growth potential, rich history and culture, lower living costs, and unique business opportunities. These locations provide better value for money and are less affected by the challenges faced in more renowned Italian cities.
In my opinion, Italy’s global mobility landscape in 2024 is poised for significant developments. From the growing appeal of the Elective Residency Visa among non-EU retirees to the vibrant startup environment and evolving housing markets in major cities, there are numerous opportunities and challenges ahead. The continued attractiveness of the 7% tax program and the untapped potential in less celebrated cities further highlight the diverse prospects Italy offers for expatriates and investors alike.
