Japan recovers from a 0.5% contraction in Q1, plots next move for economic rebound

It expanded at an annualised rate of 2.5 percent from April to June

Japan’s economy recently recovered from a 0.5 percent contraction in Q1. According to experts, it expanded at an annualised rate of 2.5 percent from April to June.

“The economy is picking up moderately,” said the Cabinet Office, according to the Financial Post. “It is expected to pick up ahead as we stand ready to take all possible steps to prevent infections as socioeconomic activity normalizes,” it added, referring to coronavirus cases.

Meanwhile, NHK WORLD-JAPAN reported that Japan is going to start welcoming foreign travellers not in guided tours in September as the number of foreign tourists arriving in the country has begun to decline. They will be allowed to enter the country as long as their trip has been arranged by a travel agency. 

More: Japan turns to agritourism to help the tourism sector

The demographic had been welcomed in the country since Japan eased border controls in June, but visitors were still required to join guided tours on top of obtaining a visa.

It is the responsibility of the agency that arranges tours to manage the schedules of their clients. In case of infection, tourists will also be asked to follow guidelines.

Individual travelers will still be denied entry if they do not make arrangements through a travel agency.

Also, a nationwide competition has been launched by the Japanese government to boost the economy, which has been shrinking due to demographic changes, lifestyle choices, and the Coronavirus outbreak.

The Sake Viva! campaign, prepared by the country’s national tax agency, will run until 9 September. It asks people aged 20 to 39 to brainstorm ideas for products that will stimulate demand among the younger population.

It includes boosting Japanese alcoholic beverages like rice wine, beer, and whiskey, according to Sky News.

“In this project, by asking young people to propose their own business plans, we will appeal to young people for the development and promotion of Japanese alcoholic beverages, and at the same time, we will revitalise the industry,” as indicated by the tax authority’s campaign website.

The Property Report editors wrote this article. For more information, email: [email protected].