Kagoshima Plans Hotel Subsidies to Revive Tourism After Kumamoto Earthquake

Kagoshima is considering paying for its own hotel subsidy program to bring tourists back during Japan's September Silver Week holiday, before a national recovery plan begins in October.

The central government announced the Kyushu Recovery Support program after a powerful earthquake struck Kumamoto in July. From Oct. 1, visitors staying at least one night anywhere in Kyushu would qualify for a subsidy of up to 20,000 yen per night. Kumamoto and Kagoshima, which suffered the heaviest damage and the most cancellations, would receive subsidies covering up to 60% of accommodation costs. The other five prefectures would receive 50%.

The earthquake caused a major shock to tourism. More than 110,000 accommodation bookings were canceled across Kagoshima. A well-known hotel in Kagoshima City alone lost bookings from 5,500 people, with losses exceeding 100 million yen. Hotel operators said the Shinkansen and expressways had been cut off, leaving Kagoshima isolated and preventing visitors from other prefectures from reaching the area.

There was some relief when JR Kyushu announced on Aug. 27 that the Kyushu Shinkansen would fully reopen before Silver Week, an important holiday period in Japan. Kagoshima hotel operators welcomed the news, but worried that waiting until the central subsidy begins in October would be too late.

The prefecture is therefore considering a similar 60% subsidy during Silver Week in September, continuing until the national program starts. The budget will be discussed by the prefectural assembly on Sept. 11. Hotel operators hope the measure will help bring back autumn visitors.