As Japan’s yen peaks, is the era of budget-friendly trips coming to an end for Australian travellers?
The Japanese yen has reached a six-month high against the Australian dollar, threatening the affordability of Japan as a travel destination for Australians. This shift follows government interventions to bolster the yen, potentially ending a period of record-breaking tourism growth.
Why it matters
Currency fluctuations directly impact the travel and tourism industry, affecting the economic behavior of millions of international travelers.
About 1 million Australians travelled to Japan in 2025-26, a threefold increase from a decade earlier. About 1 million Australians travelled to Japan in 2025-26, a threefold increase from a decade earlier. Business As Japan’s yen peaks, is the era of budget-friendly trips coming to an end for Australian travellers? The currency has now reached its highest level against the US and Australian dollars in six months
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Prefer the Guardian on Google In the unpredictable world of global currency markets, there has been one safe bet: that the Japanese yen would continue its relentless decline.
In recent weeks, that trade has started to unravel after Tokyo and Washington intervened to support the longsuffering Japanese currency.
The US treasury secretary, Scott Bessent, went so far as to dare traders to bet against bilateral efforts to bolster the yen.
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