Orico has started a credit card business for foreign residents (2024/09/05 Nihon Keizai Shimbun). With the increase in the number of foreign residents in Japan, the demand for services for foreigners is rapidly increasing in Japan. Currently, there are over 3 million foreign residents living in Japan, and the number is increasing every year. Against this background, we will consider services for which demand is increasing for foreign residents.
1.Financial services
The use of financial services is essential for foreign residents to stabilize their lives in Japan. In particular, basic financial services such as opening a bank account, using credit cards, and remittance services are important.
Reasons for increased demand
Many foreigners use bank accounts and credit cards for salary transfers, rent payments, and daily living expenses, but the Japanese banking system is complicated for foreigners and requires many documents and procedures. , it is often not possible to use it smoothly. Furthermore, the screening standards for credit cards for foreigners are high, and there are many cases where credit cards are not passed. Therefore, demand for financial services that are available to foreign residents with simpler procedures is increasing.
Service direction
Financial institutions can meet this need by providing specialized services for foreigners. Examples include multilingual internet banking, credit cards and loan products for foreigners, easy remittance services to your home country, and low-fee currency exchange services. There is also a need for workshops to improve financial literacy and call centers with foreign language support.
2.Medical and health services
Medical and health services are also areas that are expected to expand for foreigners. For foreign residents, using Japan’s medical system and medical facilities is often stressful due to language and cultural differences.
Reasons for increased demand
Foreigners often encounter problems when using medical institutions due to language barriers and differences in the medical system. Furthermore, there are cases where it is difficult to enroll in medical insurance for foreigners and to receive treatment at hospitals. In order for foreigners to live in Japan with peace of mind, it is important to improve access to medical care and reduce the burden of medical costs.
Service direction
It is necessary to strengthen multilingual support at medical institutions, especially in major languages such as English, Chinese, and Korean. It is also effective to introduce health insurance products for foreigners and cashless payment services for medical expenses. Additionally, demand for health checkup packages and health consultation services for foreigners is increasing.
3.Educational services
As the number of foreigners increases, educational services for foreign children and international students in Japan are also becoming more important.
Reasons for increased demand
Foreign children often attend Japanese schools, and they often experience delays in learning and cultural gaps due to language differences. International students also require appropriate guidance and support in order to advance to higher education or find employment. In order to respond to this, educational support for foreigners is important.
Service direction
Possible options include expanding Japanese language education programs for foreign children, introducing bilingual education, and establishing international schools. There is also a need to provide employment support programs and internship opportunities for international students. Additionally, there is demand for school information and counseling services for foreign parents.
4.Life support services
In order for foreign residents to live comfortably in Japan, it is essential to enhance daily life support services.
Reasons for increased demand
When foreigners live in Japan, they are increasingly using services to support their daily lives, such as housekeeping, babysitting, and nursing care services. Also, for foreigners who are not used to life in Japan, it is necessary to provide daily information such as how to use transportation, local community rules, and how to separate garbage.
Service direction
There is a need to provide multilingual living guides, consultation desks for foreigners, and living support services. It is also important to strengthen cooperation with local communities and create an environment where foreigners can easily integrate into the local community. This includes community events for foreigners and encouraging participation in local volunteer activities.
5.Legal and administrative procedure support services
Japanese laws and administrative procedures are complex for foreigners, and they face a variety of problems, especially when it comes to renewing their status of residence, obtaining visas, and troubles regarding labor contracts.
Reasons for increased demand
The procedures for maintaining residence status in Japan are extremely complicated for foreigners and require specialized knowledge. In addition, issues related to working conditions and wages often arise, and support from legal experts is essential.
Service direction
There is a need to provide legal advice for foreigners, support services for visa applications, and the establishment of a consultation desk regarding working conditions. In particular, support for procedures related to residence status is important, and cooperation with administrative scriveners and lawyers is essential. It is also effective to provide guidebooks and seminars on legal and administrative procedures in multiple languages.
6.Housing services
In order for foreigners to live in Japan, they need to secure housing. However, the Japanese real estate market is often difficult for foreigners to enter.
Reasons for increased demand
Foreigners may find it difficult to find housing in Japan due to issues with guarantors, language barriers, cultural differences, etc. Furthermore, the unique Japanese customs of key money and security deposits are difficult for foreigners to understand.
Service direction
There is a need to strengthen real estate brokerage services for foreigners and provide rental properties exclusively for foreigners. It is also necessary to provide multilingual housing contract support and rental guarantee services for foreigners. Furthermore, it is expected that online platforms to support foreigners’ search for housing will be enriched.
7.Multicultural exchange/community services
In order for foreigners to adapt to Japanese society and deepen their relationships with the local community, they need a place for multicultural exchange.
Reasons for increased demand
Connections with the local community are important for foreigners to adapt to Japanese society. Many expats may feel lonely or experience cultural isolation, which can affect their quality of life.
Service direction
Holding multicultural exchange events in local communities and providing Japanese cultural experience programs for foreigners are effective. It is also important to support the foreign community and provide a place for foreigners to interact with each other. Organizing online and offline networking events and group activities to share hobbies and interests are also ways to meet demand.
Conclusion
As the number of foreign residents in Japan increases, demand for foreigners is expected to increase in many service fields. Strengthening services in areas such as finance, medical care, education, lifestyle support, legal and administrative procedures, housing, and multicultural exchange is an important element in supporting foreigners’ adaptation to Japanese society and improving their quality of life. Service providers will be able to develop new business opportunities by understanding the needs of foreigners and providing flexible and multilingual support.