"Whether Proceeding or Canceling, a Thorny Path" Japanese Government Faces Dilemma Ahead of Tokyo Olympics

Japanese Prime Minister Yoshihide Suga
[Photo by Yonhap News]

[Asia Economy Reporter Joeslgina] With about two months left until the opening of the Tokyo Olympics and Paralympics, the Japanese government is facing a dilemma. Although opposition to holding the Games is rising again due to the resurgence of COVID-19 infections, the financial and political burdens of canceling the Olympics are also significant.

According to the Asahi Shimbun on the 20th, a public opinion poll conducted on Japanese voters from the 15th to 16th showed that 83% believed the Olympics should be canceled or postponed again. This figure is 14 percentage points higher than the poll conducted in April. The recent resurgence of COVID-19 is interpreted as having increased voices opposing the Olympics.

Currently, the Japanese government, Tokyo Metropolitan Government, and the International Olympic Committee (IOC) maintain the position of holding the Tokyo Olympics as scheduled. A senior official from the Prime Minister's Office told the Asahi Shimbun, "The Olympics will happen. There is no wavering at all," reaffirming their intention to proceed despite opposition.

However, there are growing concerns that holding the Olympics could negatively impact the current Yoshihide Suga administration. It is explained that ignoring public opposition due to COVID-19 concerns and pushing forward could backfire. In particular, there are worries that the medical system might be destabilized during the Olympic period.

The Asahi Shimbun reported, "Around Prime Minister Suga, there were initially expectations that the Olympics would improve government management, but now voices are emerging that the Olympics could be a negative factor." Prime Minister Suga, who took office in September last year, aimed to use the successful hosting of the Tokyo Olympics as a stepping stone to boost the administration ahead of the general election this fall.

The problem is that canceling the Olympics is not easy either. The Tokyo Olympic and Paralympic Organizing Committee and Tokyo Metropolitan Government officials reportedly agreed, saying, "Whether held or canceled, it will be a thorny path," according to Asahi.

The organizing committee renewed about 2,000 contracts with domestic and international vendors when postponing the Tokyo Olympics last year. It is reported that many of these contracts require payment of material and labor costs even if canceled. The additional burden due to postponement is estimated at around 198 billion yen (approximately 2.05 trillion KRW).

The IOC is also in a position where it must proceed with the Tokyo Olympics because canceling would mean losing broadcasting rights revenue and sponsorship income from global companies. Kyodo News reported that IOC President Thomas Bach will visit Japan on July 12, 11 days before the Olympics opening. This is interpreted as a move to clearly express the intention to hold the Games amid the recent surge in opposition. The news agency also reported that President Bach might visit Japan in June as well.

This content was produced with the assistance of AI translation services.