Record spending expected from Japanese travelers in summer 2025

Saturday, 18 Jul, 2025 0

Japanese plan to spend a record high of over 100,000 yen ($670) on average for their summer holidays this year. This is the fourth straight year rise on the back of higher wages at major companies, a recent survey showed.

The increase to US$703 (¥104,901) came as 18.5% of respondents said they intend to increase their budgets, with many planning to travel. But the overall rise masked a divergence of sentiment, as a similar proportion, at 18.3%, said they will spend less due chiefly to rising inflation.

The average budget for summer vacations hit a new record for the first time in 10 years, surpassing $599 (¥89,296) marked in 2015, according to the online survey conducted in June by Meiji Yasuda Life Insurance Co. with responses from 1,120 people in their 20s to 50s.

Of those who plan to increase spending, 74.9% cited “plans to go on a trip” as the reason. 27.5% cited also higher wages as a motivation to travel. The percentage citing wage hikes was up nearly twofold from the previous year. Nearly half selecting that answer work for large companies, according to the survey.

Of the respondents who plan to cut spending, 62.0% said they are facing a tight budget due to the higher cost of living, while 24.9% plan to save money due to anxiety about the future.

The average budget of people planning a domestic trip came to US$1,018 (¥151,938), up 10.6% from last year, reflecting surging accommodation fees amid a rise in the number of overseas tourists.

Weaker yen dampens travel perspectives abroad

In contrast, the budget for people who plan travel abroad dropped 13.3% to US$ 2,547 ( ¥380,051). Around 40% of them declare they will take food and beverages with them to save money. A move due to a weaker yen, the survey said.

“Many households are being forced to hold back on spending this summer. Employees at small and midsize companies are effectively not benefiting from rising wages,” said Yuya Kikkawa, an economist at the Meiji Yasuda Research Institute.

(Source: Kyodo News)

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