Saturday, Jan 17, 2026
logo
Update At 21:24    USD/JPY 158,15  ↓-0.3884        EUR/JPY 183,79  ↓-0.3324        GBP/JPY 212,04  ↓-0.1652        USD/EUR 1,16  ↑+0.0007        USD/KRW 1.472,74  ↑+3.162        JPY/SGD 0,01  ↑+0        Germany: DAX 46,57  ↓-0.29        Spain: IBEX 35 37,96  ↑+0.2        France: CAC 40 45,68  ↑+0.75        Nasdaq, Inc. 100,33  ↑+0.26        SPDR S&P 500 ETF Trust 692,24  ↑+1.88        Gold 4.609,38  ↓-6.1298        Bitcoin 95.493,11  ↓-94.54        Ethereum 3.310,00  ↓-8.2        

Oita Prefecture: Japan’s Hot Spring Capital Turning Population Challenges into Tourism and Investment Opportunities

Interview - January 8, 2026


Oita Prefecture in Kyushu is blending centuries-old culture, world-famous hot springs, bold infrastructure plans and advanced manufacturing to confront Japan’s population decline. This article explores how the region is leveraging tourism, education and industry to build a more vibrant, globally connected future.
 

SATO KIICHIRO, GOVERNOR OF OITA PREFECTURE
SATO KIICHIRO | GOVERNOR OF OITA PREFECTURE

Population decline is said to be one of Japan’s most pressing issues. What is the current situation in Oita Prefecture, and how do you view it?

Yes, population decline is an extremely serious challenge for all of Japan, and Oita Prefecture is no exception. Our population has now fallen slightly below 1.1 million. Each year, we lose roughly 10,000 people, and most of that decrease comes from what we call “natural decline”—that is, deaths exceeding births.

There are also social factors, namely the migration in and out of the prefecture and the inflow of foreign workers, but the impact of natural decline is still overwhelmingly greater.

It is extremely crucial to slow this decline as much as possible. At the same time, we must face the reality of a shrinking population and focus on how to revitalize our communities and sustain economic and social development.

I have high hopes for the government’s new framework, Regional Revitalization 2.0, but at present it remains largely a set of principles and messages. Going forward, the question will be whether those principles can be translated into concrete policies and investments with real execution power.

 

What are your thoughts on the relationship between Tokyo’s centralization and regional revitalization?

This is a topic that comes up frequently in the National Governors’ Association. Personally, I don’t believe the solution lies in trying to “suppress” Tokyo’s growth or concentration. While the overconcentration of people and capital in Tokyo poses challenges, the answer isn’t to restrain it by force, but rather to make proactive investments in regional areas and strengthen their own capabilities—that, I believe, is the essence of regional revitalization.

For instance, major infrastructure investments were made in Tokyo ahead of the Olympics—expanding Haneda Airport, building expressways and subway lines connecting it to the city center—all of which were based on real needs. So, I think it’s somewhat misguided to simply say that “too much investment goes to Tokyo.”

In the past, policies such as the Factory Location Restriction Law sought to limit new facilities in the Tokyo area, but these issues cannot be solved through regulation alone. What’s truly needed is bold and strategic expansion of investment in the regions.

In that sense, while Regional Revitalization 2.0 is structured around local governments’ efforts supported by the national government, I believe we need a broader perspective—something akin to former Prime Minister Kakuei Tanaka’s Reconstruction of the Japanese Archipelago plan. We need a comprehensive national strategy that takes a bird’s-eye view of the entire country and corrects the imbalance between cities and regions under national responsibility.

 

For international readers, could you introduce Oita’s unique history and cultural identity?

Oita is geographically and culturally a very distinctive region. Among Kyushu’s airports, it’s the closest to Tokyo, and because it faces the Seto Inland Sea, it shares the same cultural sphere as the Shikoku and the Chugoku regions.

In ancient times, it was known as Bungo, a prosperous land supported by abundant rice cultivation and fishing. During the Sengoku period, the Otomo clan accepted Christianity, making Oita one of the first gateways for Western culture into Japan. It was here that Western medicine and music first entered Japan—a point of great historical significance.

During the Edo period, the area was divided into eight domains, each fostering its own distinct culture and history. Therefore, the region possesses a wide variety of appealing cultural resources, much like a "high-mix, low-volume" model, with each present in small amounts.

Since the Meiji era, Oita has leveraged its port facilities to develop base-material industries such as steel and petrochemicals, followed by high-tech sectors like Canon, Toshiba, and Sony. Today, Oita still retains its identity as an industrial hub, with major facilities such as Daihatsu’s automobile plant.

At the same time, Oita is also home to traditional sites like the Usa Jingu Shrine, which boasts 1,300 years of history. The coexistence of tradition, industry, and tourism gives the prefecture a multifaceted appeal.

 

Apart from hot springs, what else can Oita proudly showcase to the world?

I’d like to highlight three examples.

First, the Beppu Argerich Music Festival. This festival is directed by the world-renowned pianist Martha Argerich, who personally visits Japan to oversee it. Now in its 25th year, it attracts musicians and audiences from around the world and is highly regarded as an international cultural event.

Second, the Oita International Wheelchair Marathon. With a 43-year history, it brings together top para-athletes from across the globe. It symbolizes a society where everyone can thrive regardless of disability and helps promote Oita to the world as a “pioneering city in welfare.”

Third, Ritsumeikan Asia Pacific University (APU). Of its 6,000 students, about 3,000 are international. Classes are conducted in both English and Japanese, and graduates go on to work across Asia and in global corporations. It serves as Oita’s flagship international hub.

In addition, Oita is home to Harmonyland, the world’s only outdoor Sanrio theme park dedicated to Hello Kitty. The airport has even been rebranded as Oita Hello Kitty Airport. Going forward, we hope to develop this into a major entertainment resort destination.



What strategies do you have for inbound tourism?

Tourism is the key to regional revitalization. Beppu and Yufuin are already highly popular—so much so that overtourism has become a concern in some areas. On the other hand, there are still many attractive but lesser-known places, such as Usuki and Taketa.

We are promoting collaboration among the prefecture’s 18 municipalities to better showcase our tourism attractions. Expanding international flight routes is also a priority. Currently, we have direct flights from Taiwan and South Korea, but we aim to further increase direct routes to make the region more accesible for visitors.

Strengthening connections with Shikoku is another important goal. The sea separating Kyushu and Shikoku is only about 14 kilometers wide. If connected by a bridge or tunnel, it could form a vast integrated tourism zone. I believe such a large-scale project should be pursued at the national level, and we are actively advocating for it.

 

You’ve also mentioned the Linear Chuo Shinkansen vision.

Yes.

If the planned Shinkansen network—including the East Kyushu Shinkansen and Shikoku Shinkansen—were fully developed and linked to the Linear Chuo Shinkansen connecting Tokyo, Nagoya, and Osaka, it would transform life and business opportunities across regional Japan. I consider it essential that these transport networks that facilitate the movement of people and goods are advanced a national-level projects.

Japan’s economy has stagnated for over two decades. What we need now is bold infrastructure investment to reinvigorate the entire nation. Building a bridge or tunnel across the Hoyo Strait between Kyushu and Shikoku would create a double-axis national transport network, stimulating economic ripple effects across western Japan and attracting further investment to Oita.

 

For international visitors, what short trips or experiences would you recommend in Oita?

I would strongly recommend experiences that combine nature and culture. In the Kunisaki Peninsula, you can enjoy trekking routes that link ancient temples with beautiful coastal scenery. In the southern Sobosan–Katamukiyama mountain range, spring brings breathtaking views when the slopes are covered in azaleas.

At Aso-Kuju National Park, visitors can witness geothermal landscapes reminiscent of Yellowstone in the U.S.—complete with geysers, hot springs, and geothermal power plants unique to a volcanic region.

On the cultural side, traditional crafts such as Ontayaki pottery and Hita geta (wooden clogs), as well as local specialties like kabosu citrus and Hita chestnuts, are gaining international attention.

 

Lastly, how would you appeal to international business leaders about Oita’s investment potential?

Oita boasts a solid industrial foundation. We have clusters of basic material industries such as steel, petrochemicals, and semiconductors, surrounded by networks of small and medium-sized enterprises that form strong industrial ecosystems.

We also have excellent port facilities, abundant water resources, and large tracts of land that can be repurposed for new factory development.

But the most important asset is our people. Oita has a long tradition of technical education through industrial high schools, and we are introducing new human resource development programs using online learning platforms. Over the next five years, we aim to train more talent to lead the industries of the future.

With its blend of tradition and advanced industry, natural resources and global outlook, Oita offers both stability and growth potential as an investment destination.

 


To read more about Oita Prefecture, check out this article about them.

LEADER DATABASESee all Database >

Shinji Umehara

President and Representative Director
Hotel Okura Tokyo Co., Ltd.

Aiko Ikeda

President and Representative Director
Kanden Amenix Co., Ltd.

Takeshi Hayakawa

Representative Director and President
TOA CORPORATION

Shin Jae il

CEO
Abilitysystems

  0 COMMENTS