diff --git a/src/components/DestinationPicker.tsx b/src/components/DestinationPicker.tsx
index bda61f34b7337..261a815627df8 100644
--- a/src/components/DestinationPicker.tsx
+++ b/src/components/DestinationPicker.tsx
@@ -3,10 +3,10 @@ import useDebouncedState from '@hooks/useDebouncedState';
 import useLocalize from '@hooks/useLocalize';
 import useOnyx from '@hooks/useOnyx';
 import usePolicy from '@hooks/usePolicy';
-import * as OptionsListUtils from '@libs/OptionsListUtils';
-import * as PerDiemRequestUtils from '@libs/PerDiemRequestUtils';
+import {getHeaderMessageForNonUserList} from '@libs/OptionsListUtils';
+import {getDestinationListSections} from '@libs/PerDiemRequestUtils';
 import type {Destination} from '@libs/PerDiemRequestUtils';
-import * as PolicyUtils from '@libs/PolicyUtils';
+import {getPerDiemCustomUnit} from '@libs/PolicyUtils';
 import CONST from '@src/CONST';
 import ONYXKEYS from '@src/ONYXKEYS';
 import SelectionList from './SelectionList';
@@ -21,8 +21,8 @@ type DestinationPickerProps = {
 
 function DestinationPicker({selectedDestination, policyID, onSubmit}: DestinationPickerProps) {
     const policy = usePolicy(policyID);
-    const customUnit = PolicyUtils.getPerDiemCustomUnit(policy);
-    const [policyRecentlyUsedDestinations] = useOnyx(`${ONYXKEYS.COLLECTION.POLICY_RECENTLY_USED_DESTINATIONS}${policyID}`);
+    const customUnit = getPerDiemCustomUnit(policy);
+    const [policyRecentlyUsedDestinations] = useOnyx(`${ONYXKEYS.COLLECTION.POLICY_RECENTLY_USED_DESTINATIONS}${policyID}`, {canBeMissing: true});
 
     const {translate} = useLocalize();
     const [searchValue, debouncedSearchValue, setSearchValue] = useDebouncedState('');
@@ -49,7 +49,7 @@ function DestinationPicker({selectedDestination, policyID, onSubmit}: Destinatio
     }, [customUnit?.rates, selectedDestination]);
 
     const [sections, headerMessage, shouldShowTextInput] = useMemo(() => {
-        const destinationOptions = PerDiemRequestUtils.getDestinationListSections({
+        const destinationOptions = getDestinationListSections({
             searchValue: debouncedSearchValue,
             selectedOptions,
             destinations: Object.values(customUnit?.rates ?? {}),
@@ -57,7 +57,7 @@ function DestinationPicker({selectedDestination, policyID, onSubmit}: Destinatio
         });
 
         const destinationData = destinationOptions?.at(0)?.data ?? [];
-        const header = OptionsListUtils.getHeaderMessageForNonUserList(destinationData.length > 0, debouncedSearchValue);
+        const header = getHeaderMessageForNonUserList(destinationData.length > 0, debouncedSearchValue);
         const destinationsCount = Object.values(customUnit?.rates ?? {}).length;
         const isDestinationsCountBelowThreshold = destinationsCount < CONST.STANDARD_LIST_ITEM_LIMIT;
         const showInput = !isDestinationsCountBelowThreshold;
@@ -81,6 +81,7 @@ function DestinationPicker({selectedDestination, policyID, onSubmit}: Destinatio
             ListItem={RadioListItem}
             initiallyFocusedOptionKey={selectedOptionKey ?? undefined}
             isRowMultilineSupported
+            shouldHideKeyboardOnScroll={false}
         />
     );
 }
diff --git a/src/components/SelectionList/index.native.tsx b/src/components/SelectionList/index.native.tsx
index 4207f65c639c0..359044dcc6bf7 100644
--- a/src/components/SelectionList/index.native.tsx
+++ b/src/components/SelectionList/index.native.tsx
@@ -4,13 +4,18 @@ import {Keyboard} from 'react-native';
 import BaseSelectionList from './BaseSelectionList';
 import type {ListItem, SelectionListHandle, SelectionListProps} from './types';
 
-function SelectionList<TItem extends ListItem>(props: SelectionListProps<TItem>, ref: ForwardedRef<SelectionListHandle>) {
+function SelectionList<TItem extends ListItem>({shouldHideKeyboardOnScroll = true, ...props}: SelectionListProps<TItem>, ref: ForwardedRef<SelectionListHandle>) {
     return (
         <BaseSelectionList
             // eslint-disable-next-line react/jsx-props-no-spreading
             {...props}
             ref={ref}
-            onScrollBeginDrag={() => Keyboard.dismiss()}
+            onScrollBeginDrag={() => {
+                if (!shouldHideKeyboardOnScroll) {
+                    return;
+                }
+                Keyboard.dismiss();
+            }}
         />
     );
 }
diff --git a/src/components/SelectionList/index.tsx b/src/components/SelectionList/index.tsx
index f5ee4d4c4e2df..c5f26d8c3b1d8 100644
--- a/src/components/SelectionList/index.tsx
+++ b/src/components/SelectionList/index.tsx
@@ -7,7 +7,7 @@ import CONST from '@src/CONST';
 import BaseSelectionList from './BaseSelectionList';
 import type {ListItem, SelectionListHandle, SelectionListProps} from './types';
 
-function SelectionList<TItem extends ListItem>({onScroll, ...props}: SelectionListProps<TItem>, ref: ForwardedRef<SelectionListHandle>) {
+function SelectionList<TItem extends ListItem>({onScroll, shouldHideKeyboardOnScroll = true, ...props}: SelectionListProps<TItem>, ref: ForwardedRef<SelectionListHandle>) {
     const [isScreenTouched, setIsScreenTouched] = useState(false);
 
     const touchStart = () => setIsScreenTouched(true);
@@ -58,8 +58,8 @@ function SelectionList<TItem extends ListItem>({onScroll, ...props}: SelectionLi
 
     // In SearchPageBottomTab we use useAnimatedScrollHandler from reanimated(for performance reasons) and it returns object instead of function. In that case we cannot change it to a function call, that's why we have to choose between onScroll and defaultOnScroll.
     const defaultOnScroll = () => {
-        // Only dismiss the keyboard whenever the user scrolls the screen
-        if (!isScreenTouched) {
+        // Only dismiss the keyboard whenever the user scrolls the screen or `shouldHideKeyboardOnScroll` is true
+        if (!isScreenTouched || !shouldHideKeyboardOnScroll) {
             return;
         }
         Keyboard.dismiss();
diff --git a/src/components/SelectionList/types.ts b/src/components/SelectionList/types.ts
index 8c2e66dbc04b5..38108c795773b 100644
--- a/src/components/SelectionList/types.ts
+++ b/src/components/SelectionList/types.ts
@@ -826,6 +826,9 @@ type SelectionListProps<TItem extends ListItem> = Partial<ChildrenProps> & {
 
     /** Whether product training tooltips can be displayed */
     canShowProductTrainingTooltip?: boolean;
+
+    /** Whether to hide the keyboard when scrolling a list */
+    shouldHideKeyboardOnScroll?: boolean;
 } & TRightHandSideComponent<TItem>;
 
 type SelectionListHandle = {
diff --git a/src/pages/iou/request/IOURequestStartPage.tsx b/src/pages/iou/request/IOURequestStartPage.tsx
index 2b859abef349f..dd10cf805eccb 100644
--- a/src/pages/iou/request/IOURequestStartPage.tsx
+++ b/src/pages/iou/request/IOURequestStartPage.tsx
@@ -1,6 +1,6 @@
 import {useFocusEffect} from '@react-navigation/native';
 import React, {useCallback, useEffect, useMemo, useRef, useState} from 'react';
-import {View} from 'react-native';
+import {Keyboard, View} from 'react-native';
 import DragAndDropProvider from '@components/DragAndDrop/Provider';
 import FocusTrapContainerElement from '@components/FocusTrap/FocusTrapContainerElement';
 import HeaderWithBackButton from '@components/HeaderWithBackButton';
@@ -14,6 +14,7 @@ import usePolicy from '@hooks/usePolicy';
 import usePrevious from '@hooks/usePrevious';
 import useThemeStyles from '@hooks/useThemeStyles';
 import {dismissProductTraining} from '@libs/actions/Welcome';
+import {isMobile} from '@libs/Browser';
 import {canUseTouchScreen} from '@libs/DeviceCapabilities';
 import Navigation from '@libs/Navigation/Navigation';
 import OnyxTabNavigator, {TabScreenWithFocusTrapWrapper, TopTab} from '@libs/Navigation/OnyxTabNavigator';
@@ -115,6 +116,7 @@ function IOURequestStartPage({
 
     const resetIOUTypeIfChanged = useCallback(
         (newIOUType: IOURequestType) => {
+            Keyboard.dismiss();
             if (transaction?.iouRequestType === newIOUType) {
                 return;
             }
@@ -175,6 +177,7 @@ function IOURequestStartPage({
         >
             <ScreenWrapper
                 shouldEnableKeyboardAvoidingView={false}
+                shouldEnableMaxHeight={selectedTab === CONST.TAB_REQUEST.PER_DIEM}
                 shouldEnableMinHeight={canUseTouchScreen()}
                 headerGapStyles={isDraggingOver ? styles.dropWrapper : []}
                 testID={IOURequestStartPage.displayName}
@@ -207,7 +210,8 @@ function IOURequestStartPage({
                                 shouldShowProductTrainingTooltip={shouldShowProductTrainingTooltip}
                                 renderProductTrainingTooltip={renderProductTrainingTooltip}
                                 lazyLoadEnabled
-                                disableSwipe={isMultiScanEnabled && selectedTab === CONST.TAB_REQUEST.SCAN}
+                                // We're disabling swipe on mWeb fo the Per Diem tab because the keyboard will hang on the other tab after switching
+                                disableSwipe={(isMultiScanEnabled && selectedTab === CONST.TAB_REQUEST.SCAN) || (selectedTab === CONST.TAB_REQUEST.PER_DIEM && isMobile())}
                             >
                                 <TopTab.Screen name={CONST.TAB_REQUEST.MANUAL}>
                                     {() => (
diff --git a/src/pages/iou/request/step/IOURequestStepDestination.tsx b/src/pages/iou/request/step/IOURequestStepDestination.tsx
index d2d125e44c670..a6c6c54c03182 100644
--- a/src/pages/iou/request/step/IOURequestStepDestination.tsx
+++ b/src/pages/iou/request/step/IOURequestStepDestination.tsx
@@ -5,17 +5,20 @@ import Button from '@components/Button';
 import DestinationPicker from '@components/DestinationPicker';
 import FixedFooter from '@components/FixedFooter';
 import * as Illustrations from '@components/Icon/Illustrations';
+import ScreenWrapper from '@components/ScreenWrapper';
 import type {ListItem} from '@components/SelectionList/types';
 import WorkspaceEmptyStateSection from '@components/WorkspaceEmptyStateSection';
 import useCurrentUserPersonalDetails from '@hooks/useCurrentUserPersonalDetails';
 import useLocalize from '@hooks/useLocalize';
 import useNetwork from '@hooks/useNetwork';
 import useOnyx from '@hooks/useOnyx';
+import useSafeAreaInsets from '@hooks/useSafeAreaInsets';
 import useTheme from '@hooks/useTheme';
 import useThemeStyles from '@hooks/useThemeStyles';
 import Navigation from '@libs/Navigation/Navigation';
 import {getPerDiemCustomUnit, isPolicyAdmin} from '@libs/PolicyUtils';
 import {getPolicyExpenseChat} from '@libs/ReportUtils';
+import variables from '@styles/variables';
 import {
     clearSubrates,
     getIOURequestPolicyID,
@@ -55,7 +58,7 @@ function IOURequestStepDestination({
     const [policy, policyMetadata] = useOnyx(`${ONYXKEYS.COLLECTION.POLICY}${explicitPolicyID ?? getIOURequestPolicyID(transaction, report)}`, {canBeMissing: false});
     const {accountID} = useCurrentUserPersonalDetails();
     const policyExpenseReport = policy?.id ? getPolicyExpenseChat(accountID, policy.id) : undefined;
-
+    const {top} = useSafeAreaInsets();
     const customUnit = getPerDiemCustomUnit(policy);
     const selectedDestination = transaction?.comment?.customUnit?.customUnitRateID;
 
@@ -112,56 +115,62 @@ function IOURequestStepDestination({
     };
 
     return (
-        <StepScreenWrapper
-            headerTitle={backTo ? translate('common.destination') : tabTitles[iouType]}
-            onBackButtonPress={navigateBack}
-            shouldShowWrapper={!openedFromStartPage}
-            shouldShowNotFoundPage={shouldShowNotFoundPage}
-            testID={IOURequestStepDestination.displayName}
+        <ScreenWrapper
+            includePaddingTop={false}
+            keyboardVerticalOffset={variables.contentHeaderHeight + top + variables.tabSelectorButtonHeight + variables.tabSelectorButtonPadding}
+            testID={`${IOURequestStepDestination.displayName}-container`}
         >
-            {isLoading && (
-                <ActivityIndicator
-                    size={CONST.ACTIVITY_INDICATOR_SIZE.LARGE}
-                    style={[styles.flex1]}
-                    color={theme.spinner}
-                />
-            )}
-            {shouldShowOfflineView && <FullPageOfflineBlockingView>{null}</FullPageOfflineBlockingView>}
-            {shouldShowEmptyState && (
-                <View style={[styles.flex1]}>
-                    <WorkspaceEmptyStateSection
-                        shouldStyleAsCard={false}
-                        icon={Illustrations.EmptyStateExpenses}
-                        title={translate('workspace.perDiem.emptyList.title')}
-                        subtitle={translate('workspace.perDiem.emptyList.subtitle')}
-                        containerStyle={[styles.flex1, styles.justifyContentCenter]}
+            <StepScreenWrapper
+                headerTitle={backTo ? translate('common.destination') : tabTitles[iouType]}
+                onBackButtonPress={navigateBack}
+                shouldShowWrapper={!openedFromStartPage}
+                shouldShowNotFoundPage={shouldShowNotFoundPage}
+                testID={IOURequestStepDestination.displayName}
+            >
+                {isLoading && (
+                    <ActivityIndicator
+                        size={CONST.ACTIVITY_INDICATOR_SIZE.LARGE}
+                        style={[styles.flex1]}
+                        color={theme.spinner}
+                    />
+                )}
+                {shouldShowOfflineView && <FullPageOfflineBlockingView>{null}</FullPageOfflineBlockingView>}
+                {shouldShowEmptyState && (
+                    <View style={[styles.flex1]}>
+                        <WorkspaceEmptyStateSection
+                            shouldStyleAsCard={false}
+                            icon={Illustrations.EmptyStateExpenses}
+                            title={translate('workspace.perDiem.emptyList.title')}
+                            subtitle={translate('workspace.perDiem.emptyList.subtitle')}
+                            containerStyle={[styles.flex1, styles.justifyContentCenter]}
+                        />
+                        {isPolicyAdmin(policy) && !!policy?.areCategoriesEnabled && (
+                            <FixedFooter style={[styles.mtAuto, styles.pt5]}>
+                                <Button
+                                    large
+                                    success
+                                    style={[styles.w100]}
+                                    onPress={() => {
+                                        InteractionManager.runAfterInteractions(() => {
+                                            Navigation.navigate(ROUTES.WORKSPACE_PER_DIEM.getRoute(policy.id, Navigation.getActiveRoute()));
+                                        });
+                                    }}
+                                    text={translate('workspace.perDiem.editPerDiemRates')}
+                                    pressOnEnter
+                                />
+                            </FixedFooter>
+                        )}
+                    </View>
+                )}
+                {!shouldShowEmptyState && !isLoading && !shouldShowOfflineView && !!policy?.id && (
+                    <DestinationPicker
+                        selectedDestination={selectedDestination}
+                        policyID={policy.id}
+                        onSubmit={updateDestination}
                     />
-                    {isPolicyAdmin(policy) && !!policy?.areCategoriesEnabled && (
-                        <FixedFooter style={[styles.mtAuto, styles.pt5]}>
-                            <Button
-                                large
-                                success
-                                style={[styles.w100]}
-                                onPress={() => {
-                                    InteractionManager.runAfterInteractions(() => {
-                                        Navigation.navigate(ROUTES.WORKSPACE_PER_DIEM.getRoute(policy.id, Navigation.getActiveRoute()));
-                                    });
-                                }}
-                                text={translate('workspace.perDiem.editPerDiemRates')}
-                                pressOnEnter
-                            />
-                        </FixedFooter>
-                    )}
-                </View>
-            )}
-            {!shouldShowEmptyState && !isLoading && !shouldShowOfflineView && !!policy?.id && (
-                <DestinationPicker
-                    selectedDestination={selectedDestination}
-                    policyID={policy.id}
-                    onSubmit={updateDestination}
-                />
-            )}
-        </StepScreenWrapper>
+                )}
+            </StepScreenWrapper>
+        </ScreenWrapper>
     );
 }