Tokyo 2020 is expected to allow the sale of alcohol at venues at the Olympics ©Getty Images

The Tokyo 2020 Organising Committee is to allow the sale of alcohol at competition venues, but with restrictions in place to curb the spread of COVID-19.

This comes after organisers confirmed that up to 10,000 domestic fans would be allowed to attend competitions for the Games in each venue.

Venues can hold a maximum of 50 per cent of its capacity, or the 10,000 threshold.

Foreign spectators have already been banned due to the potential spread of COVID-19.

According to Kyodo News, the decision on alcohol was made in consideration of a sponsorship contract with an alcohol company.

Sources say that organisers will likely set time limits for the sales, amid fears that alcohol sales could help spread coronavirus.

Tokyo 2020 is set to release spectator guidelines later this week, with a draft copy suggesting that fans will be asked to refrain from eating and drinking in groups in passageways.

They will also be asked to travel to and from venues directly, without stopping elsewhere.

Yesterday, Tokyo 2020 President Seiko Hashimoto said the sale of alcohol for spectators is "being considered" but would depend on whether people can be stopped from speaking loudly or shouting, and whether they observe other COVID-19 preventative protocols.

Fans in attendance will not be allowed to sing or chant as part of the COVID-19 measures. 

Until July 11, Tokyo is restricted to serving alcohol at restaurants and bars until 7pm, with people in the capital being allowed to drink alone or in pairs for up to 90 minutes between 11am and 7pm.

Alcohol will also be allowed inside the Athletes' Village, but condoms will not be distributed to athletes due to the restrictions between people at the Games.

The Tokyo 2020 Olympics are scheduled to take place from July 23 to August 8, followed by the Paralympics from August 24 to September 5.

Both Games were postponed from 2020 due to the COVID-19 pandemic.