The Japanese Yen is collapsing. Just in 2022 alone it has lost more than a fifth of its value against the US dollar. It has hit the lowest level since 1990 and the reasons for this development have been multifold. Japan´s heavy reliance on imported oil and gas is only one of them.
The weak yen makes everything more expensive for Japanese consumers in the country. In fact, Japan's consumers have seen their purchasing power halved over the last decade and according to BBC News the amount of money spent on imports jumped by 46% - just in September!!
However, on the other side of the coin, money made abroad by Japanese exporters is worth a lot more back home now. Knowing that exports account for about 15% of the country's total economic activity this is not insignificant. In addition, tourism constitutes a key source of foreign exchange and is considered a highly important export industry as well.
In 2019, Japan welcomed 32 million foreign visitors, who spent about 5 trillion yen (US$33.60 billion). Tourist numbers are still a long way from that number, but Investment bank Goldman Sachs has predicted inbound spending could reach 6.6 trillion yen (US$ 43.00 billion) within a year of Japan´s full reopening.
If you followed the skyrocketing tourism development of Japan prior to Covid, this projection doesn´t sound unrealistic to me. Demand to explore and discover this fascinating country has been constantly increasing since 2010 and the current strong US$ and the yen´s sliding value spurs this trend even more as the traveler´s money goes a lot further now in Japan.
Ms. Aya Kihara, CEO of The Golf Japan, one of Japan´s leading golf destination management companies shared with me that demand for 2023 golf tours is unprecedented. Golf Professional Paul Sheehan, owner of the Australian golf travel company Elite Japan and a passionate Ambassador for golf in Japan has provided golf experiences to 100+ golfers since the opening of the borders just a couple of months ago.
I did a simple analysis on exclusive golf tours to Japan; the finding is mind-blowing. The epic GolfPlus Japan Adventure hosted by Elite Golf Experiences and a few other select golf tour operators costs US$ 2,130.00 per person LESS NOW than it would have cost just one year ago. Consumers save over US$ 2,000 for this specific Golfplus tour. https://www.golfinjapan.info
There will most likely be no better time for golfers to explore and experience Japan than NOW!
I can´t wait to head back to Japan myself, it is not just the second biggest golf nation in the world but it will wow any visiting golfer with its unique golf culture, extraordinary golfplus experiences, unrivaled gastronomy and wonderful people.