Japan Sets Record for Tourist Arrivals for Second Consecutive Month in July
By Japan received a record number of visitors for a second straight month in July, buoyed by a weak yen and summer holidays. The number of international visitors came to about 3.3 million in July, up from the previous record of 3.1 million in June, according to data from the Japan National Tourism Organization, reported Reuters.
The gain is attributed to the summer holiday season in East Asia and in Europe, which really opened up travel to Japan. The country so far this year has hosted over 21 million visitors. Continuing at this pace, with around 1.5 to 2 million per month, Japan's total for the year will easily eclipse the 31.9 million international arrivals recorded in 2019 before the COVID-19 pandemic dampened global travel.
Although it recently plummeted in June to a 38-year low against the US dollar, which made Japan a more attractive and economically affordable destination, it has recovered some. At 3:14 pm AST Wednesday, the yen traded at 145.9 against the dollar.
The economy of Japan has been on a path of strong recovery. Japanese GDP grew 3.1% year-on-year in the second quarter of 2024, buoyed by robust consumer spending. But the au Jibun Bank flash Japan manufacturing purchasing managers' index dropped to 49.2 in July from the previous month, indicating that factory activity contracted due to high costs hurting production and new orders.
Besides, the current account surplus of Japan rose to $17.7 billion - ¥2.9 trillion this May, supported by the highest-ever primary income surplus that compensated for the trade deficit.