Weak Baht Fails to Spark Tourism Boom, Safety Concerns Prevail. Thailand's tourism industry faces an uphill battle despite a weakened baht, say experts. Travellers' confidence in safety remains a bigger obstacle, with reports of scams and natural disasters looming larger than currency issues. ASEAN NOW

Photo courtesy of Asean Post

 

Thailand's tourism industry faces an uphill battle despite a weakened baht, say experts. The national currency's recent drop, a result of US tariff announcements, isn't attracting the hoped-for influx of tourists since similar economic trends affect other Asian currencies. 

 

Travellers' confidence in safety remains a bigger obstacle, with reports of scams and natural disasters looming larger than currency issues.

 

President Trump's tariffs affected the baht, reaching a three-month low before stabilising at around 34.15 per dollar (approx. 1,200 Baht).

 

However, it seems a weaker baht won't sway potential visitors, as the baht's competitive edge is lost amidst widespread regional currency depreciation.

 

 

Adith Chairattananon of the Association of Thai Travel Agents highlighted that foreign tourists continued to choose destinations like Japan, largely due to its safety record, despite a weaker yen.

 

Chinese tourists, a vital demographic for Thailand, remain wary post-earthquake and following reports of scams. Even unaffected areas like Phuket aren't drawing expected numbers, with hotels reporting low bookings for the upcoming Songkran holiday starting April 11.

 

Suksit Suvunditkul from the Thai Hotels Association noted scant long-haul reservations during this low season, despite some beachfront resorts maintaining high occupancy.

 

Prospects appear clouded by global economic instability following US policies, though Phuket, having diversified its markets, may be less impacted.

 

According to the Thai Hotels Association's survey on April 3, major destinations like Bangkok and Chiang Mai recorded nearly a 25% drop in bookings year-on-year for the Songkran festival.

 

Although the weakened baht offers potential for growth, restoring confidence in safety and reliable travel experiences seems crucial. Amidst global economic uncertainties, Thailand's tourism sector remains challenged, striving to regain its former allure.

 

Based on a story by Bangkok Post

 

-- 2025-04-05