Visiting Japan Is Cheaper Than It's Been in Years. Should You Book a Trip?

Have you ever wanted to visit Japan? 2024 could be a good year for Americans to travel to the East Asian island country. That's because the Japanese currency (the yen) is weak against the U.S. dollar. As a result of the strong dollar, the dollar-to-yen currency conversion gives American tourists extra buying power in Japan.

For example, five years ago, in April 2019, one U.S. dollar was worth about 112 Japanese yen. But today, $1 is worth about 151 yen -- a 35% difference! When the dollar is strong and the yen is weak, that means all the costs of food, lodging, and fun things to do on vacation cost 35% less than they did five years ago. It's like the entire country is "on sale" for international vacation travelers.

Let's look at a few reasons why Japan is a cheap vacation destination for Americans, why you should go, and what to watch out for if you want to save money.

Why Japan is a cheap vacation destination

The Japanese yen has gotten weaker against the dollar in the past few years, largely because of different interest rates in both countries. While the U.S. Federal Reserve has raised U.S. interest rates to over 5% (this is why the best savings accounts and CDs have 5.00% APYs or more), the Japanese central bank, the Bank of Japan, has kept Japan's interest rates low.

In fact, until March 2024, Japan's interest rates were negative, to encourage consumer spending and try to create economic growth. Because U.S. dollars are earning so much higher interest rates than Japanese yen, that creates stronger global demand among investors for U.S. dollars. And a strong dollar is good news for any Americans who want to visit Japan.

Why Americans should vacation in Japan

Full disclosure: I have lived in Japan and have visited there several times; I have good friends in Tokyo. I have fond feelings for Japan, because it's where I had my first job out of college (teaching English in the Japanese public schools) and it's been a hospitable place for me. I believe there are a few good reasons why more Americans should consider breaking out their credit cards for a vacation to Japan.

Delicious food

I have never had a bad meal in Japan. Here are just a few top-of-mind food experiences you can have there:

Do you like sushi? You can have some of the best sushi of your life off of a conveyor belt in Tokyo. This style of restaurant is called "kaitenzushi" ("rotating sushi") and you just keep grabbing plates off the conveyor belt, all you care to eat. At the end of the meal, you get billed based on the number of plates you've eaten.

Do you like ramen? Some of the best bowls of noodles you'll ever have in your life can be found at tiny hole-in-the-wall restaurants in Japan. A hot bowl of spicy miso ramen, pan-fried gyoza dumplings, and a cold mug of Sapporo are some of my favorite comfort food memories of Japan.

Do you like French bakeries? I don't know how or why, but Tokyo is full of really delicious French-style bakeries, cake shops, gourmet coffee shops, and patisseries. It's like being in Paris, even though the staff are all Japanese.

Fascinating culture

I can't begin to explain how it looks and feels to be in Japan. Tokyo is a neon future-city, where the lights at night from all the big buildings and vast screens seem bright as day. It's easy to get around -- the trains can get crowded but they run on time. There are fascinating museums and cultural sites in Tokyo, like the Meiji Jingu shrine and park, where you can write an "ema" (Shinto prayer card) to give thanks for your visit and make wishes for peace in the world.

And then a short walk away from this peaceful Shinto shrine in a forest is the Harajuku district, home of vibrant street art and a noisy, colorful hub of youth fashion. Japan can give you a wildly different range of experiences, subcultures, and local flavor, all within 30 minutes.

Warm hospitality

The word for hospitality in Japanese is "omotenashi" and Japan does hospitality extremely well. It's kind of embarrassing as an American, how kindly I've been treated by my Japanese friends and Japanese restaurant staff; it makes me feel like I need to be a better friend and a better host. Japanese culture is all about politeness, hard work, being generous and warm-hearted to guests, and holding high standards for customer service.

You see this spirit everywhere in Japan. Even at lower-cost fast casual restaurants and chain coffee shops, there's a sense that the staff are genuinely enjoying their jobs and happy to see you. There's an earnestness to Japan. You see people working at train stations, diligently helping people with questions about their train tickets. Janitors sweep the floors with observant attention to detail. It's humbling to witness, and it makes me want to do better and try harder in my own life.

Bottom line

Does Japan sound like a fun place to visit, especially now that it's 35% cheaper against the dollar than it was five years ago? If this sounds fascinating to you, get your favorite travel rewards credit card and consider booking a flight to Japan in 2024.