HomeEconomicSixth wave in Japan. The government is trying to save the economy

Sixth wave in Japan. The government is trying to save the economy

Japan’s lack of vaccination passports and limited testing opportunities threaten the push to revive the economy in a key year-end season, when restaurants generate up to half of their annual revenue and travel agencies are busiest.

This means that companies fearing a new wave of pandemic in the winter are not hiring extra workers and ordering more goods until they know more about the economic recovery.

Local governments are largely on their own, creating a patchwork quilt of COVID-19-related laws. At stake is how quickly Japan can recoup some of the $ 44 billion spent by foreign tourists in 2019, and whether total domestic spending of $ 53 billion can be freed up to boost the economy.

If unsuccessful, reopening could be costly for new Prime Minister Fumio Kishida, who is expected to be elected in less than two weeks. His predecessor was ousted from power after his popularity declined over suspicions that the government had responded poorly to the COVID-19 pandemic.

The end of the year is pivotal for bars and restaurants in Japan, where companies host major “forget the year” events and year-end dining with business partners and friends is an important custom.

Tests and passports

Initially, Japan was criticized for its slow introduction of vaccination, which left it behind most developed countries and made the Delta variant epidemic susceptible to the epidemic.

Even so, the number of cases dropped to zero, allowing the government to gradually begin work on a reopening program that would include the use of vaccination certificates and COVID-19 testing. The problem with vaccine passports is that apart from unresolved confidentiality issues, vaccinations were carried out by local authorities and there is no single database.

Although the city of Tokyo has made little progress in implementing the program, some municipalities have taken steps on their own. Ishigaki Island has modified the phone app that now serves as a mobile vaccination register. Tourists can present their immunization card to receive a discount card in shops and restaurants.

New Prime Minister Kishida has pledged to increase testing capabilities, but similar promises made by his predecessors have not brought tangible improvements. Makoto Shimoaraiso, a government official in charge of responding to the pandemic, said the government is “experimenting with an optimal package, such as for a soccer field, stadium, restaurants and pubs.”

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