Japan Travel Firms to Get More Funds under "Go To" Campaign

Politics

Tokyo, Oct. 13 (Jiji Press)--The Japanese government said Tuesday that it will provide private-sector travel companies with more funds for covering the costs of offering discounts to customers under the Go To Travel tourism promotion campaign.

The move came after major travel-booking website operators scaled back such discounts due to concerns over possible shortages of funds allocated from the state. Under the government-sponsored campaign, which is designed to help the tourism industry cushion the impacts of the novel coronavirus epidemic, 35 pct of the travel costs is discounted, for up to 14,000 yen, per person per night.

Through the additional funding, the government hopes to prevent a situation in which the rate of discounts differs among travel companies. But the issue may have reminded consumers and the tourism industry that the program is prone to problems.

Some major travel-booking sites, including Yahoo! Travel and Jalan.net, recently lowered the upper limits of their discounts to 3,500 yen, out of fear that they will run out of the funds that were distributed to them beforehand.

Following the government's decision on the additional funding, these website operators on Tuesday afternoon put their discount limits back to the original levels set under the campaign.

[Copyright The Jiji Press, Ltd.]

Jiji Press