Kasikorn Research Centre estimates Thailand’s tourism industry will close the year with 32.5 million tourist arrivals. An all time high.Originally, Thailand’s Tourism Authority estimated tourist arrivals would reach 33 million this year. However, there are challenges to the country’s tourism such as a crackdown on zero-dollar tours from China and a security alert.
Q4 is the high season. More foreign tourists will travel to more destinations in the country. European tourists will be a major source driving tourism in the last quarter. The market has showed good signs since the end of last year and this continues this year.
The report said, “The recovery of the Russian and Scandinavian markets will also help. Beach destinations in the south will continue to attract tourists especially repeaters; destinations such as Phuket, Krabi, Phang Nga and Samui in Surat Thani will benefit the most.”
What the bank’s think-tank did not address is the alarming declines in exchange rates with the Thai baht. The British pound is down 20% and earlier this week the Swedish Krona declined in value against the baht, making a holiday to Thailand more expensive.
The centre estimates tourist arrivals will hit 32.5 up 8.6% from 29.8 million in 2015. Revenue should reach THB1.60 trillion improving 10.3% from THB1.45 trillion in 2015.
[Kasikorn Research Centre is a subsidiary company of Kasikorn Bank, which conducts tourism and business research mainly on Thailand’s economy including tourism with reliable recommendations and indicators on business prospects.
photo credit: Wat Chalong Phuket © Andrew J Wood