The Japan Tourism Agency plans to launch a subsidy program for wide-area destination management organizations to intensively support efforts to attract tourists to regional areas. The initiative seeks to disperse inbound visitors and curb overtourism in major cities. It will request necessary funding in the fiscal 2026 budget starting next April.
The Japan Tourism Agency announced on Monday plans for a new subsidy program targeting destination management and marketing organizations, or DMOs, that span regional boundaries. This initiative will provide intensive support for activities aimed at drawing tourists to less-visited areas, with subsidies covering two-thirds of the costs for measures based on DMO-formulated strategies, informed sources said.
Wide-area DMOs will develop three- to five-year strategies and detailed business plans. Following government approval, expenses for creating travel products and promotional efforts will be subsidized. Additionally, half the costs for introducing artificial intelligence to enhance DMO operational efficiency will be covered.
The government has long offered various subsidies to local governments, DMOs, and private firms to boost tourism. However, with around 70% of foreign visitors concentrating in major urban centers, officials aim to use wide-area DMOs to increase regional tourism and encourage longer stays. Funding will come from proceeds of the departure tax.
This program is expected to help distribute inbound tourism more evenly, easing pressures on popular cities while revitalizing regional economies.