It is hard to pinpoint one exact reason for the rise, but beyond the currency impact, it likely reflects a range of effects including a push by the Japanese Government to encourage overseas travel by students.
The Japanese Government announced the Super Global Program in 2013, as well as the Tobitate (Leap for Tomorrow), which offers a range of scholarships and partnership programs with universities around the world. A focus of these initiatives is to increase the number of Japanese students studying overseas but another is to attract foreign students to Japan for study.
Looking forward, ANZ Research envisages that Australia is likely to see further growth in the number of Japanese students.
The 2020 reform of Japan’s university examinations is going to place a larger emphasis on English. This could see an increase in the number of younger Japanese students going abroad to undertake a short English language course.
While there is no doubt that policy initiatives in Japan and the preferences of Japanese consumers will be of great importance, the path taken by the AUD will remain critical to the outlook for Japanese visitors to Australia.