Tourism Strong Baht and Safety Fears Weigh on Thai Tourism

[webfact]

File photo courtesy of iStock for reference only

 

Thailand's tourism sector is grappling with challenges as the Thai baht strengthens, making visits pricier against global currencies. Visitor numbers are dwindling, and recent safety concerns add to the apprehension.

 

The Ministry of Tourism and Sports revealed foreign tourism earnings of around 938 billion baht from January to August 10, missing the annual target of 1.77 trillion baht. Foreign arrivals have decreased by over 6% compared to last year, totalling 20 million visitors so far.

 

The baht’s appreciation of 5-6% against the US dollar this year is impacting short-haul markets, particularly in China. Many Chinese tourists are choosing to visit Japan because of the favourable exchange rate with the yen. Chinese arrivals in Thailand have dropped by almost one-third this year.

 

Long-haul arrivals increased, but visitors may opt for other destinations if they perceive Thailand as offering poor value. The global economic climate is prompting tourists to look to places where their currency goes further or to stay home, reported the Bangkok Post.

 

Security remains a pressing issue. After incidents such as a Bangkok shooting spree and attacks on Malaysian tourists, the government faces criticism for its inertia in boosting tourist confidence.

 

Hoteliers in Pattaya are now increasingly dependent on local tourists and holidays to enhance their business. Holiday weekends like Mother’s Day push occupancy rates up to 80-90%, but weekdays see drops to 30-40%.

 

Despite a recent 5% increase in tourists resulting from school breaks in China, the future for the tourism industry appears uncertain without government action to boost confidence. The co-payment subsidy scheme for domestic travel had some success, but budget delays have left smaller hoteliers struggling.

 

Efforts to move the subsidy scheme to the Pao Tang app were hindered by government decisions, highlighting ongoing frustrations within the industry. Restoring the allure of cost-efficient and safe travel in Thailand remains an ongoing challenge.

 

  Adapted by ASEAN Now from Bangkok Post 2025-08-14

 

[ozz1]

I wish they would make up their minds one article tourism is down next its up they blame everyone butthemselves just ajust the baht where it should be and keep the elites out of it because they are the ones benefiting from it being high