Japanese travel agencies to get more funds under ‘Go To’ campaign

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Policy

Tokyo, Oct. 13 (Jiji Press)–The Japanese government said on Tuesday it will provide private-sector travel agencies with more funds to cover the costs of offering discounts to customers as part of the promotional campaign. Tourist Go To Travel.

The move came after major travel booking website operators cut those discounts due to concerns about possible shortages of state funds. As part of the government-sponsored campaign, which is designed to help the tourism industry cushion the impacts of the novel coronavirus outbreak, 35% of travel costs are reduced, up to 14,000 yen, per person and per night.

With the additional funding, the government hopes to avoid a situation where the discount rate differs from one travel company to another. But the problem 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 their remittance caps to 3,500 yen for fear of running out of funds previously distributed to them.

Following the government’s decision on the additional funding, these website operators reduced their rebate limits to the initial levels set in the campaign on Tuesday afternoon.

[Copyright The Jiji Press, Ltd.]

Jiji Press

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