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Pandemic gives extra momentum to cashless drive in Japan

Feb 22, 2021 Wallets packed with ¥1,000 notes along with ¥100 and ¥10 coins Japanese people’s love for bills and coins has long been a hindrance to the creation of a cashless economy. But with more people avoiding physical cash amid the COVID-19 pandemic, digital payments are becoming more popular in Japan, which has been embracing cashless options following a massive government-backed promotional campaign in the wake of a 2019 consumption tax hike. The stay-at-home trend has also prompted more consumers to rely more on internet shopping, which usually requires cashless transactions. The fact that local governments, which are typically the last in line to introduce any kind of technology, are starting to jump onto the digital payment trend may be evidence that a cashless economy is becoming prevalent in Japan.

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