Concerns on Osaka Expo

If Tokyo holds Olympic Games twice, Osaka can have the international exposition twice. That was the cause for the 2025 World Exposition, or Osaka-Kansai Expo, when the discussion for invitation started in 2014. Now, there is not much enthusiasm for the expo with mainly two reasons: because it is unclear how much cost is needed, concerning current commodity price hike; and because the idea of economic stimulus by a major international event became obsolete.

The government of Japan announced that it approved the revised financial plan for Osaka-Kansai Expo, which would increase the estimated cost from ¥185 billion to ¥235 billion. “It is inevitable,” said Minister of Economy, Trade and Infrastructure Yasutoshi Nishimura, “because commodity price and workers’ wage has been rising and will be.” He denied the idea of further increase of the cost.

 

It was originally ¥125 billion when Osaka won the ticket defeating Russia in 2018. It increased by ¥60 billion in 2020, adding the cost for changing design of the event site and taking measures to deal with the heat in the summer. Then it has currently swollen by ¥50 billion for price hike of labor and building materials. It also accumulated the reserve for possible natural disaster. The cost will evenly be paid by three parties: the national government, Osaka prefectural and city government, and business sector.

 

Miscalculation is not only about the cost but participants. At the time of March, 153 countries and regions and 8 international organization has made their entries, among which 56 countries and regions are going to build their pavilions. But only three countries have begun the construction of pavilion by the end of August. Mexico recently announced its retreat from the Expo. Prime Minister Fumio Kishida ordered his staffs further support for the event. Why is the national government so helpful?

 

Osaka-Kansai Expo has been a major political agenda for Osaka Ishin-no-kai, basic body of Japan Innovation Party. When Osaka ran for the Expo 2025, then Prime Minister Shinzo Abe offered his support, expecting positive impact on his economic growth strategy called Abenomics. Abe was reaching JIP to get political support for his agenda of constitutional amendment. The leading party passed a special law for the Expo and the prime minister newly appointed a minister in charge of the issue.

 

 

Both the Governor of Osaka and Mayor of Osaka are affiliated to JIP. The development of Yumeshima, where the Expo will be taken place, has been a great issue in Osaka. The party also involved in the big project of an integrated resort in Yumeshima, which includes building Japan’s first casino. Pouring a huge amount of money into the regional development may cause dispute over its adequacy.

 

The promoting organization raises a theme of “designing future society for our lives,” and the concept of “people’s living lab,” for the Expo 2025. But is it only the motivation for the event? Isn’t there an idea of earning money by someone’s investment in the mind of the JIP leaders? That type of event promotion has been denied by Tokyo 2020 Olympic Games, in which great amount of money was concentrated to a small number of people.

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