The upcoming World Expo scheduled to open next month in Osaka might increase Japan’s consumer expenditure by approximately 1 trillion yen ($6.7 billion). Foreign visitors’ spending outside the expo site is expected to make up roughly 30% of this total, as per estimates from a private research institute.
Out of an anticipated 28.2 million attendees for the event running from April 13 to October 13, approximately 3.5 million international visitors are projected to contribute around 293 billion yen towards costs such as transport, accommodations, and additional expenditures outside the exhibition area, according to the Resona Research Institute.
The Japan Association for the 2025 World Exposition anticipates approximately 3.5 million international visitors, constituting slightly more than 10% of the anticipated total attendance. These foreign guests are forecasted to spend more per person compared to domestic attendees, which is predicted to boost the economy in Osaka’s retail, foodservice, and entertainment areas, along with attracting tourists to neighboring regions like Kyoto and Nara Prefectures, stated Hideyuki Araki, lead researcher at the institute.
The challenge will be coping with a surge in demand for hotels as the expo’s security personnel and management staff will need to be accommodated near the venue, further tightening room availability, Araki said.
He warned that a lack of available hotel rooms might discourage both international and local tourists. To address this issue, he suggested promoting accommodations in nearby prefectures where hotels have lower occupancy rates, alongside “minpaku” private lodgings—short-term rental homes or rooms—as viable options.
In comparison to before the pandemic, the availability of private lodgings in the Kansai region—encompassing key urban centers like Osaka, Kyoto, and Kobe—has remained unchanged. Additionally, the influx of international travelers choosing these types of accommodations remains modest. According to Araki, should more private lodgings in the Osaka vicinity become available for foreign tourists, approximately 360,000 visitors could find accommodation there.
Generally, the expo tends to get more crowded during the second half of its duration. Should hotels not have availability or their prices escalate excessively, potential attendees might lose enthusiasm for attending, thereby diminishing the anticipated economic benefits, as he pointed out.
