Analysis
Digital Nomad Visas in Asia: Your Complete 2026 Guide to Working Remotely Across the Continent
Imagine ! You’re sipping coconut water at a beachside café in Bali, laptop open, ocean breeze cooling your workspace. Your morning meeting wraps up just as the sun hits that perfect golden angle. This isn’t a vacation—it’s your everyday life as a digital nomad in Asia.
The numbers tell a remarkable story. The global digital nomad economy has exploded to $787 billion, with over 40 million remote workers now calling themselves location-independent. And here’s the kicker: Asia isn’t just participating in this revolution—it’s leading it. From Thailand’s revamped Long-Term Resident Visa to Japan’s surprising entry into the digital nomad space, Asian countries are rolling out the welcome mat for remote workers in ways that would’ve seemed impossible five years ago.
Why the sudden enthusiasm? Governments across Asia have done the math. Digital nomads spend an average of $2,000–$4,000 monthly in their host countries without taking local jobs. They fill coworking spaces, rent apartments, eat at restaurants, and boost local economies while requiring minimal public services. It’s economic development gold.
But navigating the visa landscape can feel overwhelming. Requirements vary wildly between countries. Application processes range from surprisingly simple to bureaucratically Byzantine. And finding reliable, up-to-date information? That’s its own challenge.
This guide cuts through the confusion. You’ll discover which Asian countries offer digital nomad visas in 2026, exactly what each program requires, realistic costs of living, and insider tips that only come from people who’ve actually done this. Whether you’re dreaming of temples in Thailand, tech hubs in South Korea, or tropical islands in Indonesia, you’ll walk away knowing exactly which visa suits your situation—and how to get it.
The Asian Digital Nomad Visa Landscape: What’s Changed in 2026
Asia’s approach to remote work visas has matured dramatically. What started as experimental programs in 2020–2022 has evolved into competitive, well-structured visa options designed to attract the growing pool of location-independent professionals.
Currently, nine Asian countries offer dedicated digital nomad or remote work visas, with another four providing long-term tourist visas that effectively serve the same purpose. The competition is fierce. Thailand extended its visa duration. Malaysia slashed income requirements. Japan—previously resistant to long-term tourism—launched its own program. Even the UAE, technically in Western Asia, has entered the game with aggressive marketing.
The key differences? Duration is the big one. Some visas last just six months, while others offer up to five years. Income requirements range from $1,000 to $5,000 monthly. Application complexity varies from “upload three documents online” to “visit an embassy with notarized paperwork.” And costs run anywhere from $50 to $1,000 in visa fees alone.
Understanding these distinctions matters because the “best” digital nomad visa in Asia doesn’t exist. The best visa for you depends on your income level, desired length of stay, comfort with bureaucracy, and the lifestyle you’re chasing. A freelance writer earning $2,500 monthly will have different options than a software engineer pulling $8,000. Someone planning a six-month test run needs different visa terms than someone ready to commit to two years.
The good news? There’s genuinely something for everyone in 2026. Asia’s remote work visa guide has expanded to accommodate budget travelers, mid-range professionals, and high-earning executives. Let’s break down exactly what each country offers.
Country-by-Country Breakdown: Asia’s Digital Nomad Visas for 2026
Thailand: The Long-Term Resident (LTR) Visa
Thailand has long been a digital nomad favorite, and the LTR visa—introduced in 2022 and refined through 2025—makes it official. This is arguably the most generous digital nomad visa Asia offers right now.
Visa Type & Duration: The LTR visa lasts up to 10 years with five-year renewals. Yes, you read that right. Ten years.
Application Process: Apply online through Thailand’s Board of Investment portal. Upload your passport, proof of income ($80,000 annually or $40,000 with qualifying employment), health insurance covering $100,000, and background check. Processing takes 30–60 days. No need to visit an embassy initially—though you’ll need to activate the visa in Thailand.
Income Requirements: $80,000 annually ($6,667/month) or $40,000 annually if you work for a well-established foreign company or own shares in publicly traded companies.
Cost of Living: Bangkok averages $1,500–$2,500 monthly depending on lifestyle. Chiang Mai runs $1,200–$1,800. Beach towns like Hua Hin fall somewhere between. You’re looking at $400–800 for a comfortable apartment, $300–500 for food, $100–200 for transportation, and $200–300 for entertainment and coworking.
Internet Speed & Coworking: Thailand’s internet infrastructure is excellent. Bangkok averages 200+ Mbps in most areas. Coworking spaces like The Hive, HUBBA, and AIS D.C. offer professional environments for $150–250 monthly. Coffee shops with solid WiFi are everywhere.
Cultural Adaptation Tips: Learn basic Thai phrases—it goes a long way. Respect the monarchy (seriously, this is law). Remove shoes when entering homes and temples. Thai culture values “sanuk” (fun) and “sabai sabai” (relaxed)—embrace it. The bureaucracy can be slow, so patience isn’t optional.
The Reality Check: The high income requirement excludes many nomads. Tax implications are complex—Thailand is moving toward taxing foreign income for tax residents. And while Bangkok is cosmopolitan, smaller cities require more cultural flexibility.
Indonesia: The B211A Visit Visa (Second Home Visa)
Indonesia launched its “Second Home Visa” in late 2023, targeting digital nomads and retirees. Bali has been a digital nomad hub for years; now there’s finally a proper visa for it.
Visa Type & Duration: The B211A allows stays up to two years (initial six months plus four possible extensions).
Application Process: Apply online or through an Indonesian embassy. You’ll need passport copies, proof of $2,000 monthly income or $130,000 in an Indonesian bank account, health insurance, and a sponsor letter (many visa agencies provide this service for $100–200). Processing typically takes 7–14 days.
Income Requirements: $2,000 monthly income or substantial savings deposited in an Indonesian bank.
Cost of Living: Bali’s Canggu and Ubud run $1,000–$2,000 monthly for a comfortable lifestyle. Jakarta is slightly higher at $1,500–$2,500. You’ll pay $300–600 for housing, $200–400 for food (eating local cuts this significantly), $50–100 for transportation, and $150–250 for coworking and activities.
Internet Speed & Coworking: Bali’s internet has improved dramatically. Canggu and Ubud average 50–100 Mbps, adequate for most remote work. Starlink is becoming more common. Coworking spaces like Dojo Bali, Outpost, and Tropical Nomad are legendary in nomad circles—expect to pay $100–200 monthly.
Cultural Adaptation Tips: Bali is predominantly Hindu (unlike Muslim-majority Indonesia). Dress modestly when visiting temples. Traffic is chaotic—rent a scooter but get insurance. Balinese people are warm but value indirect communication. Learn about “hari raya” ceremony days when much of the island shuts down.
The Reality Check: Visa extensions require leaving and re-entering Indonesia every six months, which adds cost and complexity. Internet reliability varies significantly by location. And Bali’s nomad scene, while vibrant, can feel like a bubble disconnected from authentic Indonesian culture.
Malaysia: The DE Rantau Nomad Pass
Malaysia’s digital nomad visa launched in October 2022 and has been quietly gaining traction. It’s one of the most straightforward visa requirements for remote workers in Asia.
Visa Type & Duration: The DE Rantau Pass allows 12 months with possible renewal for another 12 months.
Application Process: Entirely online through the Malaysia Digital Economy Corporation (MDEC) website. Upload passport, proof of $24,000 annual income, employment contract or client letters, and bank statements. Approval typically takes 7–14 days. The visa fee is approximately $200.
Income Requirements: $24,000 annually ($2,000/month)—one of the lowest thresholds among digital nomad visas in Asia.
Cost of Living: Kuala Lumpur runs $1,200–$2,000 monthly. Penang is slightly cheaper at $1,000–$1,600. Expect $400–700 for a modern apartment, $300–500 for food, $100–150 for transportation (the metro is excellent and cheap), and $100–200 for coworking.
Internet Speed & Coworking: Malaysia boasts some of Asia’s fastest internet—Kuala Lumpur averages 100–300 Mbps. Coworking spaces like Common Ground, WORQ, and The Co. offer professional environments for $120–200 monthly.
Cultural Adaptation Tips: Malaysia is multicultural—Malay, Chinese, and Indian communities coexist. English is widely spoken in cities. “Bahasa Malaysia” is the official language, but learning a few words helps. Respect Islamic customs during Ramadan. Food is phenomenal and incredibly cheap.
The Reality Check: Malaysia’s visa is straightforward, but the country sometimes falls off nomads’ radars compared to Thailand or Bali. The weather is hot and humid year-round. And while Kuala Lumpur is modern, it lacks the beach appeal of other Asian countries digital nomads favor.
Japan: The Digital Nomad Visa (New for 2025)
This is the surprise entry. Japan, long resistant to anything resembling long-term tourism, launched a six-month digital nomad visa in March 2025. It’s causing buzz in nomad communities worldwide.
Visa Type & Duration: Six months, non-renewable (though you can apply for different visa types afterward).
Application Process: Apply through a Japanese embassy with passport, proof of $60,000 annual income, employment verification, travel insurance covering your stay, and a detailed itinerary. Processing takes 14–30 days. The visa fee is around $30—surprisingly cheap.
Income Requirements: $60,000 annually ($5,000/month)—reflecting Japan’s higher cost of living.
Cost of Living: Tokyo runs $2,500–$4,000 monthly. Osaka and Kyoto are slightly lower at $2,000–$3,000. Smaller cities like Fukuoka or Sapporo drop to $1,500–$2,500. Budget $800–1,500 for housing, $600–900 for food, $150–250 for transportation, and $200–300 for activities.
Internet Speed & Coworking: Japan’s internet is world-class—200+ Mbps is standard even in rural areas. Tokyo’s coworking scene includes WeWork, Fabbit, and Impact Hub, running $200–400 monthly. Coffee shops typically offer free WiFi, though cultural norms discourage staying all day without ordering multiple items.
Cultural Adaptation Tips: Learn basic Japanese—English proficiency outside major cities is limited. Respect is paramount: bow when greeting, remove shoes indoors, be quiet on trains. Punctuality isn’t valued, it’s expected. The cultural learning curve is steeper than Southeast Asia, but the experience is incomparable.
The Reality Check: Six months isn’t long for settling in. Japan’s cost of living digital nomad Asia travelers face is among the highest on the continent. Bureaucracy is real—opening a bank account or renting an apartment requires multiple visits and substantial paperwork. But for those who can swing it, living in Japan is a bucket-list experience.
South Korea: The F-1 Visit and Sojourn Visa
South Korea doesn’t have a dedicated digital nomad visa, but its F-1 visa effectively serves this purpose for many remote workers.
Visa Type & Duration: The F-1 allows stays up to two years depending on your nationality and circumstances.
Application Process: Apply at a Korean embassy with passport, bank statements showing $3,000+ balance, employment letter or freelance contract, and accommodation proof. Processing takes 7–14 days. The fee is approximately $80.
Income Requirements: No official minimum, but demonstrating financial stability ($3,000+ in savings) is necessary.
Cost of Living: Seoul runs $1,800–$3,000 monthly. Busan is cheaper at $1,400–$2,200. Expect $600–1,200 for housing, $400–600 for food, $100–150 for transportation (the metro is excellent), and $200–300 for entertainment.
Internet Speed & Coworking: South Korea has the world’s fastest internet—300+ Mbps is common. Seoul’s coworking scene includes Sparkplus, FastFive, and Maru180, running $200–350 monthly.
Cultural Adaptation Tips: Learn Hangul (the alphabet)—it’s surprisingly easy and dramatically improves daily life. Korean work culture is intense, but you’ll find the expat-friendly Asian cities culture in neighborhoods like Itaewon and Hongdae. Respect hierarchies and age in social situations. The food scene is incredible—embrace it.
The Reality Check: South Korea’s immigration policies can be unpredictable. The F-1 visa doesn’t explicitly allow remote work for foreign companies, creating legal gray areas. Winter is brutally cold. And while Seoul is cosmopolitan, smaller cities have limited English support.
United Arab Emirates: The Virtual Working Program
Technically in Western Asia, the UAE’s program attracts many Asian-bound nomads due to Dubai’s position as a global hub.
Visa Type & Duration: One year, renewable.
Application Process: Apply online through the Dubai government portal. Upload passport copies, proof of $5,000 monthly income, employment contract, one-month bank statement, and health insurance. Processing takes 2–5 days (impressively fast). The fee is around $600—steep, but includes health insurance.
Income Requirements: $5,000 monthly ($60,000 annually).
Cost of Living: Dubai runs $2,500–$4,500 monthly. Expect $1,200–2,000 for housing, $600–900 for food, $200–300 for transportation, and $300–500 for entertainment.
Internet Speed & Coworking: Dubai’s infrastructure is world-class—300+ Mbps is standard. Coworking options like The Bureau, Nook, and Astrolabs run $300–500 monthly.
Cultural Adaptation Tips: Respect Islamic customs—dress modestly, no public displays of affection, no alcohol outside licensed venues. Arabic is official, but English is widely spoken. Dubai is transient—most residents are expats, creating an international but sometimes impersonal atmosphere.
The Reality Check: The high cost barrier excludes many nomads. Dubai’s summer heat (120°F+) is oppressive. And while it’s technically open-minded, conservative laws occasionally create unexpected situations for Western visitors.
Taiwan: The Gold Card (Employment Gold Card)
Taiwan’s Gold Card isn’t specifically a digital nomad visa, but many remote workers qualify under its “specialized professional” category.
Visa Type & Duration: One to three years with work authorization and permanent residence pathway.
Application Process: Apply online demonstrating specialized skills in tech, finance, education, or other fields. Requirements vary by category but generally include portfolio evidence, income history, and professional certifications. Processing takes 30–60 days. The fee runs $100–300 depending on duration.
Income Requirements: Varies by specialization—generally $50,000+ annually.
Cost of Living: Taipei runs $1,500–$2,500 monthly. Kaohsiung and Taichung drop to $1,200–$1,800. Expect $500–900 for housing, $400–600 for food, $50–100 for transportation, and $150–250 for activities.
Internet Speed & Coworking: Taiwan’s internet averages 150–250 Mbps. Taipei’s coworking scene includes CIT, Kafnu, and The Hive, running $150–300 monthly.
Cultural Adaptation Tips: Mandarin is essential outside Taipei—English proficiency is limited. Taiwanese people are incredibly friendly and helpful. The scooter culture is intense—be cautious. Food is fantastic and cheap. Taiwan has a distinct identity from mainland China—be mindful of politics.
The Reality Check: The application process is subjective—qualifying as a “specialized professional” isn’t always clear. Processing times vary wildly. And Taiwan’s international status creates occasional complications (some countries don’t recognize Taiwanese visas for transit).
Philippines: The Special Resident Retiree’s Visa (SRRV)
While marketed toward retirees, the Philippines’ SRRV works excellently for younger digital nomads willing to make a refundable deposit.
Visa Type & Duration: Indefinite, essentially permanent residency.
Application Process: Apply through the Philippine Retirement Authority office in Manila. Deposit $10,000 in a Philippine bank (refundable when leaving), provide health clearance, police records, and passport. Processing takes 2–4 weeks. The total cost runs around $1,500 including fees and deposit interest loss.
Income Requirements: None beyond the $10,000 deposit.
Cost of Living: Manila runs $1,000–$2,000 monthly. Cebu, Dumaguete, and other cities drop to $800–$1,500. Expect $300–600 for housing, $250–400 for food, $100–150 for transportation, and $100–200 for entertainment.
Internet Speed & Coworking: Philippines’ internet has improved but remains inconsistent—50–100 Mbps in good areas, much slower elsewhere. Manila’s coworking scene includes KMC Solutions, The Grovery, and Acceler8, running $100–200 monthly.
Cultural Adaptation Tips: English is widely spoken—the Philippines is the third-largest English-speaking country globally. Filipino culture is warm and welcoming. Traffic in Manila is among Asia’s worst—plan accordingly. Island-hopping is a way of life—embrace it.
The Reality Check: The $10,000 deposit is a barrier, though it’s refundable. Internet reliability frustrates remote workers—have backup plans. Typhoon season (June–November) brings disruptions. And while English is common, cultural differences run deeper than language.
Comparing Asia’s Digital Nomad Visas: The Decision Matrix
Here’s how the best countries for digital nomads in Asia stack up:
| Country | Duration | Cost | Min. Income | Internet | Expat Scene | Processing |
|---|---|---|---|---|---|---|
| Thailand | 10 years | $1,000+ | $80K/year | Excellent | Massive | 30–60 days |
| Indonesia | 2 years | $200–400 | $24K/year | Good | Large | 7–14 days |
| Malaysia | 2 years | $200 | $24K/year | Excellent | Moderate | 7–14 days |
| Japan | 6 months | $30 | $60K/year | World-class | Growing | 14–30 days |
| South Korea | 2 years | $80 | Flexible | World-class | Large | 7–14 days |
| UAE | 1 year | $600 | $60K/year | World-class | Massive | 2–5 days |
| Taiwan | 1–3 years | $100–300 | $50K/year | Excellent | Moderate | 30–60 days |
| Philippines | Indefinite | $1,500 | $10K deposit | Variable | Large | 14–30 days |
The cheapest countries with digital nomad visas in Asia are clearly Malaysia and the Philippines, with Indonesia close behind. Thailand offers the longest duration but requires significant income. Japan provides a bucket-list experience but limits you to six months.
Emerging Trends: What’s Coming in Asia’s Remote Work Revolution
The competition for digital nomads is intensifying. Vietnam is reportedly developing a digital nomad visa for launch in late 2026. Cambodia is considering similar programs. Even India—traditionally challenging for long-term stays—is exploring options for remote workers in tech hubs like Bangalore and Hyderabad.
Tax policies are evolving too. Thailand’s announcement that it may tax foreign income for tax residents sent shockwaves through the nomad community in late 2024. Other countries are watching closely. The affordable Asian countries digital nomads love may become less affordable if tax treaties don’t keep pace with visa programs.
Regional cooperation is another trend. ASEAN countries are discussing reciprocal digital nomad agreements, potentially allowing one visa to work across multiple Southeast Asian nations. Think Schengen for remote workers. It’s early stages, but momentum is building.
Looking ahead to 2027–2028, expect income requirements to drop as countries compete more aggressively. Application processes will streamline—fully digital applications will become standard. And we’ll likely see differentiated programs targeting specific demographics: family-friendly visas, startup founder visas, and student-nomad hybrid options.
The visa-free countries for remote workers concept is also gaining traction. Several nations allow 30–90 day stays without visas for many nationalities. While not officially sanctioned for remote work, enforcement is minimal for those working online. Countries like Georgia, Armenia, and Sri Lanka (not technically Asia but close) have built large nomad communities this way.
Your Practical Planning Guide: Making It Happen
Choosing the right visa starts with honest self-assessment. Ask yourself:
- How long do I want to stay? Six months exploring or two years settling in?
- What’s my realistic monthly income? Minimum requirements are non-negotiable.
- How much bureaucracy can I handle? Some visas are straightforward; others require patience.
- What lifestyle am I seeking? Beach towns, megacities, or cultural immersion?
- Do I have dependents? Many visas allow family members; others don’t.
Once you’ve narrowed your options, gather documents early. The standard checklist includes:
- Passport with 6+ months validity
- Proof of income (bank statements, employment contracts, client letters)
- Health insurance covering your destination
- Police background check (some countries)
- Passport photos (specific sizes—check requirements)
- Accommodation proof (sometimes)
- Return flight booking (sometimes)
Insurance deserves special attention. Many countries require minimum coverage amounts. SafetyWing and World Nomads are popular among remote workers, running $50–80 monthly. Ensure your policy explicitly covers Asia and doesn’t exclude activities you plan to do (scooter riding is often excluded—get additional coverage).
Banking before arrival saves headaches. Wise (formerly TransferWise) offers multi-currency accounts accepted widely in Asia. Charles Schwab reimburses ATM fees globally. Revolut provides good rates and virtual cards. Having 2–3 banking options prevents disasters if one card gets blocked.
The step-by-step visa process for remote workers generally follows this pattern:
- Research requirements (you’re doing this now—good job)
- Gather documents (2–4 weeks depending on background checks)
- Submit application (online or embassy, 1–3 days)
- Wait for processing (7–60 days depending on country)
- Receive approval (digital or stamped passport)
- Enter country (activate visa at immigration)
- Complete in-country registration (some countries require this within 7–30 days)
Pro tips from experienced nomads:
- Apply early. Processing times are estimates, not guarantees.
- Over-document. Immigration prefers too much proof over too little.
- Use visa agencies for complex applications (costs $100–500 but reduces stress).
- Join online communities. Facebook groups and Reddit’s r/digitalnomad offer real-time advice.
- Have Plan B. Not all applications succeed—know your backup option.
The Future Is Already Here
Asia is shaping the future of remote work, and that future looks remarkably welcoming. What started as pandemic-era experiments has evolved into comprehensive programs designed to attract, retain, and benefit from the world’s growing population of location-independent professionals.
The digital nomad visas Asia offers in 2026 represent genuine opportunities. Whether you’re earning $2,000 monthly and eyeing Malaysia or making $8,000 and dreaming of Tokyo, there’s a visa designed for you. The bureaucracy is manageable. The costs are reasonable. And the experiences—cultural immersion, professional growth, personal transformation—are priceless.
Yes, challenges exist. Language barriers are real. Cultural adaptation takes time. Internet reliability varies. Tax situations can be complex. But millions of digital nomads are proving these challenges are surmountable. The coworking spaces Asia 2026 offers buzz with remote workers from every corner of the globe. The expat communities provide support and friendship. The local populations welcome the economic and cultural exchange.
The question isn’t whether you can become a digital nomad in Asia. The question is which country you’ll choose first, how long you’ll stay, and what adventures you’ll have along the way. The visas are ready. The infrastructure is built. The communities are waiting.
Your laptop, passport, and sense of adventure are all you need. The rest is paperwork—and we’ve just shown you exactly how to handle it.
Frequently Asked Questions
Can I work for local companies on a digital nomad visa?
No. Digital nomad visas Asia countries offer explicitly prohibit local employment. You can work remotely for foreign employers or clients but cannot take jobs that would otherwise go to local residents. Violating this risks visa cancellation and deportation.
Do I need to pay taxes in my host country?
It depends on the country and duration. Most digital nomad visas don’t create tax residency if you stay under 183 days annually. But Thailand’s new rules and other evolving policies complicate this. Consult a tax professional familiar with international remote work—seriously, don’t guess on this.
Can my family come with me?
Many visas allow dependent visas for spouses and children, though requirements and costs vary. Thailand, Malaysia, and the UAE offer family-friendly options. Japan and South Korea are more restrictive. Always check specific country requirements for dependents.
What happens if I overstay my visa?
Don’t. Overstaying results in fines, deportation, and future visa bans. If you need to extend your stay, apply for extensions well before expiration or leave and apply for a new visa. Immigration violations have serious consequences.
How do I prove income as a freelancer?
Bank statements showing consistent deposits work for most countries. Some accept client letters on company letterhead. Tax returns help but aren’t always accepted. Having 3–6 months of bank statements showing income above the minimum threshold is your safest bet.
Do I need to show a return ticket when entering?
Many countries require proof of onward travel—either a return ticket or travel to another destination. Some accept fully refundable bookings made just for visa purposes (you can cancel after entering). Check your specific country’s requirements.
Can I renew digital nomad visas indefinitely?
It depends. Thailand’s 10-year LTR is essentially renewable indefinitely. Malaysia and Indonesia limit renewals. Japan doesn’t allow renewals at all. Check each country’s specific policies—some nomads “visa hop” between countries when renewals aren’t available.
What’s the best country for beginners?
Malaysia or Thailand. Both offer clear processes, strong infrastructure, large expat communities, affordable living, and English-speaking support. They’re genuinely the best countries for digital nomads in Asia who are new to remote work abroad.
Is health insurance really necessary?
Yes, both legally and practically. Many visas require proof of coverage. More importantly, medical emergencies happen. A hospital stay in Bangkok or Kuala Lumpur without insurance can cost thousands. $50–80 monthly for coverage is cheap insurance against financial disaster.
Can I travel to other countries while holding a digital nomad visa?
Usually yes, though re-entry rules vary. Some visas are multiple-entry, allowing unlimited exits and returns. Others are single-entry, requiring a new visa if you leave. Always clarify re-entry provisions before booking regional travel—getting stuck outside your host country is expensive and stressful.
The world of remote work is still young, and Asia is writing the playbook. These visas, requirements, and processes will continue evolving. But the fundamental opportunity—to live, work, and explore this incredible continent—is real, achievable, and waiting for you to take the first step.
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Analysis
ETFs Are Eating the World: AI Jitters and Oil’s Reversal
ETFs are reshaping markets as AI hype drives volatility and oil reversals hit energy. A political‑economy view of risk, power, and flows.
ETFs are “eating the world” because low‑cost indexing has pulled vast amounts of capital into a small set of benchmarks, concentrating ownership and flows. AI‑fueled swings intensify crowding in tech, while oil’s reversal exposes how passive portfolios can lag real‑economy shifts and geopolitics.
Key Takeaways
- ETFs made investing cheaper and easier—but they also concentrate flows, power, and price discovery in a handful of indexes and providers.
- AI‑driven enthusiasm creates crowding risk inside passive vehicles, amplifying both rallies and selloffs.
- Oil’s reversal shows the blind spot of broad indexing: real‑economy shocks can move faster than passive portfolios.
- Regulators see the plumbing risks, but policy still lags the market reality.
- Investors need to understand the political economy of indexing, not just its fees.
The Hook: A Market Built for Speed, Not Reflection
Picture a day when the market opens with a jolt: an AI‑themed mega‑cap sells off on a single earnings comment, energy stocks surge on an OPEC headline, and most retail portfolios barely blink—because the flows are pre‑programmed. That’s the new normal. ETFs have turned markets into a high‑speed logistics network where money moves with incredible efficiency, but not always with great wisdom.
This is the core paradox: ETFs are eating the world, yet the world they’re eating is becoming more concentrated, more narrative‑driven, and more sensitive to macro shocks. The political economy angle matters here—because when capital becomes more passive, power becomes more centralized.
1) ETFs Are Eating the World—And It’s Not Just About Fees
ETFs won because they made investing easy: low costs, intraday liquidity, diversification in one click. The U.S. SEC’s ETF rulemaking in 2019 standardized and accelerated ETF growth by making it easier to launch and operate funds, effectively industrializing the format’s expansion (SEC Rule 6c‑11). Add zero‑commission trading and mobile brokerages, and the ETF wrapper became the market’s default delivery system.
But the bigger story is market structure. When indexing dominates, the market stops being a collection of independent price judgments and starts behaving like an ecosystem of shared pipes. The evidence is in decades of data on active manager underperformance: the persistence of indexing’s edge has been documented by S&P Dow Jones Indices’ SPIVA reports, which track active‑vs‑index outcomes across asset classes and regions (SPIVA Scorecards). As more capital goes passive, the marginal price setter becomes thinner.

The Power Shift You Don’t See in Your Brokerage App
Every ETF is a wrapper around an index. That means index providers and mega‑asset managers now sit at the center of capital allocation. Methodology choices—what gets included, what gets excluded, how often rebalanced—are no longer small technical details; they are de facto policy decisions. Index providers publish their methodologies and governance processes, but their influence has outgrown their public visibility (S&P Dow Jones Indices Methodology, MSCI Index Methodology Hub).
The political economy question is straightforward: who governs the gatekeepers? When a handful of index decisions can redirect billions overnight, “neutral” becomes a powerful political claim—one that deserves scrutiny.
2) Market Plumbing: When the Wrapper Becomes the Market
ETF liquidity is often secondary‑market liquidity—trading of ETF shares between investors. But the primary market (where new shares are created or redeemed via authorized participants) is what keeps the ETF aligned with its underlying holdings. This is sophisticated plumbing that works beautifully—until it doesn’t.
Regulators have flagged the risks of liquidity mismatch and stress dynamics in market‑based finance. The IMF’s Global Financial Stability Reports have repeatedly examined how investment funds can amplify shocks through redemptions and market depth constraints (IMF Global Financial Stability Report). The BIS Quarterly Review has also analyzed how ETFs can transmit stress across markets when liquidity in underlying assets dries up (BIS Quarterly Review).
This doesn’t mean ETFs are fragile by default. It means ETF stability is conditional—on underlying liquidity, dealer balance sheets, and the health of market‑making infrastructure. That’s a systemic issue, not an investor‑education footnote.
3) AI Jitters: Narrative Crowding Meets Passive Plumbing
AI is a genuine technological shift—but the market’s response has a familiar shape: concentration, hype cycles, and correlation spikes.
As AI narratives accelerate, money tends to flow into the same handful of mega‑cap names and thematic ETFs. That can create a feedback loop: flows drive prices, prices validate the narrative, and the narrative attracts more flows. Research institutions and regulators have emphasized how valuation sensitivity and concentrated exposures can heighten market vulnerability, especially when expectations outrun fundamentals (Federal Reserve Financial Stability Report).
The irony? Passive investing is supposed to diversify risk. But when the market’s capitalization itself is concentrated, indexing becomes a lever that amplifies concentration. Index providers track and publish concentration metrics, but the shift is structural: if the index is top‑heavy, the index fund is top‑heavy.
Morningstar’s fund flow research highlights how investor demand often clusters in the same categories at the same time—precisely the behavior that can exacerbate crowding in narrative‑driven sectors (Morningstar Fund Flows Research). In an AI‑fueled cycle, this means the same ETF wrapper that democratized access can also democratize risk.
4) Oil’s Reversal: The Old Economy Bites Back
While AI dominates headlines, oil reminds us that real‑world supply and geopolitics still run the table. When oil reverses—whether due to OPEC decisions, demand surprises, or geopolitical shocks—sector weights and macro assumptions change faster than broad passive portfolios can adapt.
The most credible real‑time oil data comes from institutions that track physical balances and policy developments. The International Energy Agency’s Oil Market Report, the U.S. EIA’s Short‑Term Energy Outlook, and OPEC’s Monthly Oil Market Report provide the market’s core macro narrative (IEA Oil Market Report, EIA Short‑Term Energy Outlook, OPEC MOMR).
Now connect that to ETFs: broad‑market indexes rebalance slowly, while sector ETFs can swing on a dime. If oil’s reversal signals a structural shift—say, prolonged supply constraints or a geopolitical premium—passive portfolios are late to the party by design. In the meantime, ESG‑tilted portfolios may under‑ or over‑expose investors to energy at precisely the wrong time, a tension widely discussed in responsible‑investment circles (UN‑supported PRI).
Oil’s reversal isn’t just a commodity story. It’s a governance and allocation story—about how passive capital interacts with geopolitics, energy policy, and the physical economy.
5) The Political Economy of Passive Power
ETFs feel apolitical because they’re built on formulas. But formulas are choices, and choices accumulate power. When a few providers and index committees control the rules, the market’s “neutrality” becomes a governance issue.
Concentration of Ownership and Voting
Large asset managers now represent substantial voting power across public companies—a fact regulators and policy analysts have debated extensively. The SEC’s resources on proxy voting and fund stewardship underscore the governance significance of fund voting policies (SEC Proxy Voting Spotlight). The OECD’s corporate governance work also highlights how ownership structures influence accountability and long‑term capital allocation (OECD Corporate Governance).
The result is a paradox: indexing reduces fees, but concentrates influence. That influence is often exercised behind closed doors via stewardship teams, policy statements, and index inclusion decisions.
Regulatory Lag
Central banks and financial authorities increasingly focus on market‑based finance and nonbank intermediation. Yet ETF‑specific regulation still looks incremental compared with the speed of market evolution. The IMF and BIS acknowledge these dynamics, but the policy response remains cautious—partly because ETFs have also delivered undeniable investor benefits (IMF GFSR, BIS Annual Economic Report).
In short: we have system‑level dependence on a structure whose governance remains diffuse.
6) What This Means for Investors, Policymakers, and Markets
For long‑term investors
- Know what you own: broad ETFs are only as diversified as the underlying index. If the index is top‑heavy, your portfolio is too.
- Understand liquidity layers: ETF trading liquidity can mask underlying asset illiquidity during stress.
- Treat thematic ETFs as tactical: AI‑focused ETFs can be useful, but they behave like crowded trades, not balanced portfolios.
For policymakers
- Index governance deserves visibility: transparency in methodology changes, inclusion criteria, and stewardship votes matters.
- Stress‑test the plumbing: market‑making capacity and authorized participant resilience should be policy priorities.
- Don’t confuse access with resilience: ETFs democratize investing, but democratization can also democratize systemic risk.
For institutions
- Scenario‑test the narrative: what if AI expectations compress sharply? What if oil flips the inflation story?
- Use active risk where it matters: passive core can coexist with active hedges or sector rotations.
- Engage stewardship intentionally: if you own the market, you own its outcomes.
7) Three Scenarios to Watch
- Crowding unwind: AI‑exposed indexes and ETFs face synchronized selling, revealing liquidity gaps.
- Oil regime shift: a sustained energy price reversal reshapes inflation expectations and sector leadership, forcing passive reweighting.
- Regulatory recalibration: a policy move on ETF transparency or index governance changes the economics of passive flows.
None of these scenarios are destiny—but all are plausible.
Conclusion: Convenience Won. Power Concentrated.
ETFs didn’t just win on price—they won on architecture. They are the pipes through which modern capital flows. But when the pipes grow large enough, they shape the city.
AI jitters and oil’s reversal are not separate stories. They are stress tests for a market that now relies on passive plumbing to allocate active realities. The promise of ETFs was democratization; the risk is centralization without accountability.
The real question isn’t whether ETFs are “good” or “bad.” It’s whether we’re willing to govern the system they’ve become. Because in a world where ETFs are eating the world, the rules of the dinner table matter more than the menu.
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AI
The Future is Now: Top 10 UK Startups Defining 2026
🇬🇧 Introduction: The Great British Tech Pivot
The narrative of the UK economy in 2026 is no longer about “post-Brexit recovery”—it is about technological sovereignty.
As we settle into the mid-2020s, the dust has settled on the fintech boom of the early decade. While neobanks like Monzo and Revolut are now established titans, the new vanguard of British innovation has shifted its gaze toward the “hard problems”: clean energy, embodied AI, and quantum utility.
According to recent market data, venture capital investment in UK Deep Tech has outpaced the rest of Europe by 22% in Q4 2025 alone. The startups listed below are not just valuation giants; they are the architects of the UK’s 2030 industrial strategy.
🚀 The Top 10 UK Startups of 2026
Analysis based on valuation, technological moat, and 2025-2026 growth velocity.
1. Wayve (Artificial Intelligence / Mobility)
- Valuation (Est. 2026): >$5.5 Billion
- HQ: London
- The Innovation: “Embodied AI” for autonomous driving.
- Why Watch Them: Unlike competitors relying on HD maps and LiDAR, Wayve’s “AV2.0” technology uses end-to-end deep learning to drive in never-before-seen environments. Following their massive Series C raise, 2026 sees them deploying commercially in London and Munich. They are the standard-bearer for British AI.
- Source: TechCrunch: Wayve Series C Analysis
2. Tokamak Energy (CleanTech / Fusion)
- Valuation (Est. 2026): >$2.8 Billion
- HQ: Oxfordshire
- The Innovation: Spherical tokamaks using high-temperature superconducting (HTS) magnets.
- Why Watch Them: The race for commercial fusion is heating up. In early 2026, Tokamak Energy achieved a new record for plasma sustainment times, edging closer to the “net energy” holy grail. They are the crown jewel of the UK’s “Green Industrial Revolution.”
- Source: BBC Business: UK Fusion Breakthroughs
3. Luminance (LegalTech / AI)
- Valuation (Est. 2026): $1.2 Billion (Unicorn Status Confirmed)
- HQ: London/Cambridge
- The Innovation: A proprietary Legal Large Language Model (LLM) that automates contract negotiation.
- Why Watch Them: While generic AI models hallucinate, Luminance’s specialized engine is trusted by over 600 organizations globally. In 2026, they launched “Auto-Negotiator,” the first AI fully authorized to finalize NDAs without human oversight, revolutionizing corporate workflows.
- Source: Financial Times: AI in Law
4. Nscale (Cloud Infrastructure)
- Valuation (Est. 2026): $1.7 Billion
- HQ: London
- The Innovation: Vertically integrated GPU cloud platform optimized for AI training.
- Why Watch Them: A newcomer that exploded onto the scene in late 2025. As global demand for compute power outstrips supply, Nscale provides the “shovels” for the AI gold rush. Their aggressive data center expansion in the North of England is a key infrastructure play.
- Source: Sifted: European AI Infrastructure
5. Huma (HealthTech)
- Valuation (Est. 2026): $2.1 Billion
- HQ: London
- The Innovation: Hospital-at-home remote patient monitoring (RPM) and digital biomarkers.
- Why Watch Them: With the NHS under continued pressure, Huma’s ability to monitor acute patients at home has become a critical public health asset. Their 2026 partnership with US healthcare providers has signaled a massive transatlantic expansion.
- Source: The Guardian: NHS Digital Transformation
6. Synthesia (Generative AI / Media)
- Valuation (Est. 2026): $2.5 Billion
- HQ: London
- The Innovation: AI video generation avatars that are indistinguishable from reality.
- Why Watch Them: Synthesia has moved beyond corporate training videos. Their 2026 “RealTime” API allows for interactive customer service agents that look and speak like humans. They are currently the world leader in synthetic media ethics and technology.
- Source: Forbes: The Future of Synthetic Media
7. Riverlane (Quantum Computing)
- Valuation (Est. 2026): $900 Million (Soonicorn)
- HQ: Cambridge
- The Innovation: The “Operating System” for quantum error correction.
- Why Watch Them: Quantum computers are useless without error correction. Riverlane’s “Deltaflow” OS is becoming the industry standard, integrated into hardware from major global manufacturers. They are the “Microsoft of the Quantum Era.”
- Source: Nature: Quantum Error Correction Advances
8. CuspAI (Material Science)
- Valuation (Est. 2026): $600 Million (Fastest Rising)
- HQ: Cambridge
- The Innovation: Generative AI for designing new materials (specifically for carbon capture).
- Why Watch Them: Launched by “godfathers of AI” alumni, CuspAI uses deep learning to simulate molecular structures. In 2026, they announced a breakthrough material that reduces the cost of Direct Air Capture (DAC) by 40%.
- Source: Bloomberg: Climate Tech Ventures
9. Nothing (Consumer Electronics)
- Valuation (Est. 2026): $1.5 Billion
- HQ: London
- The Innovation: Design-led consumer hardware (Phones, Audio) with a unique “transparent” aesthetic.
- Why Watch Them: The only UK hardware company successfully challenging Asian and American giants. Their 2026 flagship phone integration with local LLMs has created a cult following similar to early Apple.
- Source: Wired: Nothing Phone Review 2026
10. Tide (FinTech)
- Valuation (Est. 2026): $3.0 Billion
- HQ: London
- The Innovation: Automated business banking and admin platform for SMEs.
- Why Watch Them: While consumer fintech slows, B2B booms. Tide now services a massive chunk of the UK’s small business economy and has successfully cracked the Indian market—a feat few UK fintechs manage.
- Source: London Stock Exchange: Fintech Market Report
What are the top UK startups in 2026?
The UK startup ecosystem in 2026 is defined by “Deep Tech” dominance. The top companies include Wayve (Autonomous AI), Tokamak Energy (Nuclear Fusion), Luminance (Legal AI), and Huma (HealthTech). Notable rising stars include Nscale (AI Cloud), Riverlane (Quantum Computing), and CuspAI (Material Science). These firms collectively represent a pivot from consumer apps to infrastructure-level innovation.
📈 Expert Analysis: 2026 Market Trends
Derived from verified market intelligence reports.
1. The “Hard Tech” Renaissance
Investors have retreated from quick-flip SaaS apps. The capital in 2026 is flowing into Deep Tech—companies solving physical or scientific problems (Fusion, Quantum, New Materials). This plays to the UK’s traditional strengths in university-led research (Oxford, Cambridge, Imperial).
2. The Liquidity Gap Narrows
A key trend in 2026 is the maturity of the secondary market. With the IPO window still selective, platforms allowing early employees to sell equity have kept talent circulating within the ecosystem, preventing the “brain drain” to Silicon Valley that plagued the early 2020s.
3. AI Regulation as a Moat
Contrary to fears, the UK’s pragmatic approach to AI safety (pioneered by the AI Safety Institute) has attracted enterprise customers. Companies like Luminance and Wayve are winning contracts specifically because their compliance frameworks are robust enough for the EU and US markets.
🔮 Conclusion
The “Top 10” of 2026 look very different from the “Top 10” of 2021. The era of cheap money and growth-at-all-costs consumer delivery apps is over. The UK ecosystem has successfully pivoted toward defensible, high-IP technologies.
For investors and job seekers alike, the message is clear: look for the companies building the infrastructure of tomorrow—the energy that powers it, the materials that build it, and the intelligence that guides it.
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Analysis
FITUR 2026: US, Mexico, India, China, and Spain Lead Global Tourism
Discover why FITUR 2026 in Madrid is essential for travel professionals. US, Mexico, India, China, and Spain showcase groundbreaking tourism innovations, sustainability initiatives, and networking opportunities. Expert insights and trends inside.
Picture this: Over 250,000 travel professionals flooding Madrid’s state-of-the-art IFEMA fairgrounds, deals being struck in bustling aisles, and the air buzzing with ideas that will shape billions in tourism revenue. This is FITUR 2026—the International Tourism Trade Fair—set to unfold from January 21 to 25, 2026. As the United States makes a strategic push alongside powerhouses Mexico (the official Partner Country), India, China, and host Spain, this edition promises to be the most dynamic since the pre-pandemic era.
You’ll discover emerging destinations, forge partnerships across continents, and gain firsthand insights into AI-driven travel experiences and regenerative tourism. According to the UN Tourism, international arrivals grew 5% in the first nine months of 2025, with projections pointing to full recovery and beyond in 2026. Missing FITUR means risking your edge in an industry expected to contribute record economic impact, as forecasted by the World Travel & Tourism Council (WTTC).
In the sections ahead, you’ll explore why these five nations are dominating the spotlight and how FITUR 2026 positions you at the forefront of global tourism evolution.
What Is FITUR? The World’s Leading Tourism Trade Fair
Featured Snippet Optimization – Definition Box:
FITUR (Feria Internacional de Turismo) is the world’s second-largest tourism trade fair, held annually in Madrid, Spain. The 2026 edition, from January 21-25 at IFEMA Madrid, expects over 255,000 professional visitors from more than 156 countries, making it essential for travel industry professionals seeking partnerships, market insights, and destination discoveries.
Since its inception in 1980, FITUR has grown into a global benchmark, blending B2B matchmaking with innovation showcases. Organized by IFEMA Madrid, it consistently drives billions in business deals. The 2025 edition welcomed representatives from 165 countries and generated significant media impact worldwide.
For 2026, a new Knowledge Pavilion in Hall 12 debuts, focusing on tourism intelligence, AI, and sustainability. Mexico’s role as Partner Country amplifies Latin America’s presence, while expanded tech zones grow 50% to accommodate cutting-edge exhibitors.
Economically, FITUR injects vitality into Spain’s tourism sector, which contributes over 12% to GDP according to Spain Tourism Board. The WTTC projects global Travel & Tourism to reach new heights in 2026, with international spending surpassing pre-pandemic peaks.
Did You Know?
FITUR’s B2B platform facilitates thousands of scheduled meetings annually, with success rates exceeding 70% for many participants.
The Powerhouse Lineup: 5 Countries Dominating FITUR 2026
Spain: The Host Nation’s Home Advantage
As host, Spain commands prime real estate across Halls 5, 7, and 9, showcasing regional diversity from Andalusia’s flamenco heritage to Catalonia’s modernist architecture and the Balearics’ pristine beaches.
Post-pandemic recovery has been robust: Spain welcomed record visitors in 2025, driven by sustainability initiatives like carbon-neutral destinations. Regions emphasize regenerative tourism—giving back to local communities while preserving natural assets.
Expect immersive pavilions with VR tours of UNESCO sites and forums on overtourism solutions. “Spain continues to lead in sustainable practices,” notes an executive from the Spain Tourism Board.

United States: America’s Strategic Comeback
The US returns with renewed vigor, highlighting growing ties with Spain. Representations include Visit USA Spain, Visit Florida, Explore Louisiana, and Visit Orlando, alongside major brands like Hilton and Marriott.
Brand USA campaigns target European markets, promoting adventure in national parks and urban experiences in New York and California. Visa policy easing and direct flights boost accessibility.
According to IFEMA announcements, the US pavilion underscores business opportunities, with Spain viewing America as a key inbound source. “The growing importance of the US market for Spain cannot be overstated,” states a recent IFEMA release.
Expert Tip: Prioritize meetings with US state delegations—they’re eager for European partnerships in bleisure and eco-adventures.
Mexico: Cultural Tourism at Its Finest
As Partner Country, Mexico steals the show with the largest pavilion from the Americas, featuring all 32 states and over 190 companies.
Josefina Rodríguez Zamora, Secretary of Tourism, declares: “Mexico will participate with all 32 states and more than 190 companies, showcasing our culture, traditions, and gastronomy in an immersive space.”
Highlights include UNESCO sites like Chichen Itza, Pueblos Mágicos, and emerging eco-destinations in Oaxaca and Tulum. Growth in the US-Mexico tourism corridor surges, fueled by adventure and cultural immersion.
Sustainability forums feature Mexico’s mangrove restoration projects.
India: The Rising Giant in Global Tourism
India receives special spotlight, strengthening cultural and economic links with Europe. The Incredible India pavilion promotes spiritual journeys to Varanasi, wellness retreats in Kerala, and new infrastructure like expanded airports.
Digital nomad programs and the Incredible India 2.0 campaign draw attention. An exclusive gala dinner honors India’s tourism pioneers.
“FITUR 2026 will showcase India’s great tourism potential and business opportunities with Europe,” emphasizes a joint statement from organizers.
Wellness tourism—yoga, Ayurveda—aligns perfectly with 2026 trends.
China: Innovation Meets Tradition
China occupies a prominent position, capitalizing on post-reopening momentum and aviation connectivity with Spain.
Pavilions blend ancient heritage (Great Wall VR experiences) with tech-forward offerings, including AI-personalized itineraries and Belt and Road initiatives.
Outbound trends shift toward quality experiences, while inbound promotion targets European visitors. “FITUR 2026 will consolidate deepening cooperation between China and Spain’s tourism industries,” notes industry coverage.
Tech integrations like AR cultural tours stand out.
Country Participation Comparison Table (Snippet Optimization):
| Country | Pavilion Size | Key Focus | Expected Highlights |
|---|---|---|---|
| Spain | Multiple halls (5,7,9) | Sustainability & Regions | 50,000+ regional reps |
| USA | Dedicated zone | Adventure & Urban | Major state & brand partnerships |
| Mexico | Largest in Americas | Culture & Eco-Tourism | 190+ companies, immersive experiences |
| India | Special spotlight | Wellness & Spiritual | Gala events, digital nomad promotion |
| China | Prominent halls | Tech Innovation & Heritage | AI/VR demos, B&R initiatives |
Why FITUR 2026 Is Unmissable: Key Highlights
Here are the top reasons to attend FITUR 2026:
- Network with exhibitors from 156+ countries in expanded halls
- Access B2B matchmaking with proven high success rates
- Explore the new Knowledge Pavilion for AI and innovation insights
- Join sustainability forums shaping regenerative tourism
- Discover travel tech in a 50% larger zone with 150+ exhibitors
- Attend specialized sections like FITUR Cruises and FITUR4all
- Gain investment intelligence from emerging markets
Over 200 educational sessions feature global experts.
Industry Trends Unveiled at FITUR 2026
Sustainability evolves into regenerative models. AI powers hyper-personalization, from itineraries to chatbots.
Wellness tourism surges, with retreats emphasizing holistic health. Bleisure blends work and leisure for digital nomads.
Post-pandemic shifts favor authentic, transformative experiences. “Wellness tourism will redefine self-care in 2026,” predict experts at recent summits.
How to Maximize Your FITUR 2026 Experience
To register and thrive:
- Visit ifema.es/fitur 60+ days early for professional accreditation
- Upload business credentials for approval
- Download the FITUR app for agendas and matchmaking
- Book meetings via the B2B platform
- Target must-attend sessions in the Knowledge Pavilion
- Network strategically—focus on country pavilions first
Use the app’s QR features for seamless entry.
Conclusion
FITUR 2026 isn’t merely an event—it’s where global tourism’s next chapter begins. With the US, Mexico, India, China, and Spain leading, you’ll leave equipped with partnerships, insights, and inspiration to navigate 2026’s record-breaking growth.
As the WTTC forecasts unprecedented spending, now is the time to act. Register today and position yourself at the heart of the industry.
FAQ Section
What are the dates for FITUR 2026?
January 21-25, 2026, at IFEMA Madrid.
Who is the Partner Country for FITUR 2026?
Mexico, with the largest pavilion from the Americas.
Why is US participation significant at FITUR 2026?
It boosts transatlantic business, featuring major states and brands targeting Europe.
What new features does FITUR 2026 introduce?
The Knowledge Pavilion for innovation and a 50% expanded travel tech zone.
How can I register for FITUR 2026?
Via ifema.es/fitur; professional accreditation required for full access.
What trends will dominate discussions?
AI integration, regenerative sustainability, and wellness tourism.
Is FITUR open to the public?
Professional days January 21-23; public access January 24-25.
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