Aichi Prefecture has set aside JPY276.6 million ($1.75 million) in its budget for fiscal year 2026 to conduct studies on how to develop an international tourism hub with IR facilities, indicating a clear intention to compete in the IR business. This is in sharp contrast to Hokkaido Prefecture, where a mere JPY9.98 million ($63,250) was set aside in its draft budget released on February 13. Hokkaido officials described their funding as support for research and a policy review tied to a “Hokkaido-Style IR Concept.”

Aichi’s Aggressive Research Push

Aichi’s budget line item covers “International Tourism City Function Development Study Expenses,” focusing on studies to shape facilities, services, and infrastructure around Chubu Centrair International Airport and nearby areas. The work explicitly includes IR facilities as part of building an attractive MICE destination for global visitors. Aichi Prefecture leaders confirmed on February 12 their intention to advance to the second round of IR bids, in line with the Japan Tourism Agency’s plan to accept fresh applications from May 6 to November 5, 2027.

Aichi’s decision to invest heavily in studies indicates its intention to explore in depth what it will take to attract international tourists, ranging from transport infrastructure to event facilities and gaming components. By investing heavily in studies, it aims to create a comprehensive plan that will impress when it bids, using its strategic location and airport facilities.

Hokkaido Takes Measured Approach

Hokkaido’s smaller allocation signals a more cautious step into IR planning. The JPY9.98 million will fund basic research and concept development tailored to the prefecture’s unique profile, rather than broad feasibility studies. While both regions eye the next licensing round, Aichi’s nearly 28-fold funding edge underscores different paces: one diving deep early, the other testing waters with targeted policy work.

Japan’s IR Landscape Opens Second Window

The move comes after the first IR bidding round yielded just one winner, Osaka, where the MGM-ORIX consortium broke ground last year on a $10 billion project. Nagasaki Prefecture earlier withdrew from the IR bid round, leaving two of the three IR licenses under the IR Implementation Act up for grabs. Late last year, the Japan Tourism Agency indicated a 2027 timeline to accept fresh bids from local governments, giving a second lease on life to local governments such as Aichi and Hokkaido, which chose to sit out in round one. The research will probe visitor needs, from luxury stays to convention spaces and gaming, all centred on boosting international appeal through Chubu Centrair.

Funding Signals Bidding Seriousness

Aichi’s JPY276.6 million dwarfs Hokkaido’s outlay, highlighting how prefectures weigh IR’s potential against costs. For Aichi, the sum buys comprehensive studies on MICE integration, airport synergies, and IR viability—key to crafting a competitive bid. Hokkaido’s leaner approach focuses on concept validation, perhaps reflecting lessons from past interest that fizzled.

With Osaka advancing and two slots left, Aichi’s budget bet positions it aggressively. The studies will map infrastructure gaps and tourism draws, ensuring any IR pitch ties tightly to regional strengths. Hokkaido’s modest funding keeps options alive without overcommitting, betting on a custom “Hokkaido-Style” angle.

Next Steps in the IR Race

As bidding nears in May 2027, Aichi’s heavy investment could yield a polished plan, while Hokkaido builds deliberately. Both tap into Japan’s push for up to three IRs, with Osaka setting the pace. Aichi’s focus on Chubu Centrair as a MICE gateway with IR elements aims to lure high-value inbound traffic, backed by real dollars for groundwork. Hokkaido’s lighter touch tests fit without big upfront spend. The funding gap spotlights strategic choices in a race where preparation often decides winners.

Source: Inside Asian Gaming (IAG)

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