Over 70 percent of Japanese people plan to use the government’s ¥100,000 cash handouts to pay for necessities and bills, according to a private-sector survey.
The survey by research firm Cross Marketing Inc. showed that 71.6 percent of respondents said they will use the money for consumption and payment of bills, far exceeding the 36.8 percent who said they will save the money.
The proportion of people who said they will use the money to buy necessities or pay for bills exceeded 50 percent in all age categories, according to the survey, which covered 2,500 residents aged between 20 and 69 in Japan.
The money will be provided as part of the government’s efforts to cushion the economic impact of the coronavirus pandemic.
Asked about on what they will spend the money, with multiple answers allowed, 53 percent of respondents, the largest proportion, cited food, followed by daily goods, at 37 percent, energy bills, at 22 percent, and communication fees, at 18 percent.
A tendency was observed that respondents in younger generations were more likely to answer that they will put the money in the bank, with such an answer given by 51.6 percent of female respondents in their 20s.
The survey signals that younger people want to save as much as they can to prepare for income drops, Cross Marketing said.
A separate survey by MMD Labo and Colopl Inc. showed that 27.5 percent of respondents said they will save their ¥100,000 handouts, while food and beverages were cited by the highest proportion of 30.8 percent among those who said they will spend the money.