The bill, which says the government will cover all vaccine costs for Japan's 126 million residents, was approved by the upper house of parliament, having cleared the powerful lower house.
The country has secured COVID-19 vaccines for 60 million people from pharmaceutical giant Pfizer, and for a further 25 million people from biotech firm Moderna.
It has also confirmed it will receive 120 million doses of AstraZeneca's vaccine.
Pfizer and Moderna are already seeking emergency-use approval in the United States and Europe, after clinical tests showed their jabs were effective.
The bill's passage comes two weeks after Japan's prime minister said the country was on "maximum alert" over the virus, and as medics warn hospitals are on the brink of collapse.
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