Making digital payments in Japan as an international traveller is becoming easier thanks to efforts promoting the digitalisation of payments and integration of systems used in other countries.
Improving inbound tourists’ experience through the promotion, acceptance and integration of digital payments is part of the government’s New Tourism Nation Promotion Basic Plan launched in April 2023, and Japan’s standardised QR Code (JPQR) is expected to be launched by 2025.
The JPQR will “ensure easier acceptance of QR code/barcode-based payments”, Mayu Suzuki, director of Payments Japan Association, told TTG Asia.
To enable cross-border payment acceptance, Payments Japan, which formulated the JPQR, is establishing a new merchant acquiring system, appointing a switching system dedicated to cross-border purposes and arranging for interlinkage with countries that have adopted common standards for QR payments.
“Experiencing smooth payment will eventually lead to increased efficiency as well as credibility for Japan. We believe this is a small but vital point to boost the satisfaction of every tourists’ stay in Japan,” said Suzuki.
Private companies, too, are driving change.
Since January 2024, users of Naver Pay and Toss from South Korea, OCBC Digital and Changi Pay from Singapore, MyPB from Malaysia and MPay from Macau have been able to use PayPay Corporation’s cashless payment service in Japan using the “user scan method”.
The latest integration aims “to create an environment that supports merchants seeking to capture tourist-driven demand while enhancing traveller experience”, stated SoftBank Corporation, the parent company of PayPay Corporation.
Use of digital payment methods have been on the rise in Japan in recent years, with the non-cash payment ratio reaching 39.3 per cent in 2023, according to Japan’s Ministry of Economy, Trade and Industry.
Expo 2025, which will be held in Osaka, aims to be the first cashless world’s fair.
