Thailand's tourism confidence weakens amid floods in Q3

Bangkok: Thailand's tourism confidence weakened in the third quarter of 2024, hampered by flooding in several areas, reduced domestic spending and the off-peak season for international tourists.

The Southeast Asian country's tourism confidence index for the July-September period stood at 68, marking a slight decline from a year earlier but a significant drop from 79 recorded in the previous quarter, according to the Tourism Council of Thailand.

Council president Chamnan Srisawat said the ongoing flooding, particularly in the northern region, has caused extensive economic damage, with losses estimated at over 500 million baht (about $14.92 million), while 82 per cent of tourism businesses still reported lower revenues compared to the pre-COVID period in 2019, as reported by Xinhua news agency.

Despite that, Chamnan forecast that the index would rise to 80 in the final quarter of this year due to a surge in pre-bookings during the peak travel season and an increase in flight availability towards the end of the year.

Tourism revenue for 2024 is projected to reach up to 2.8 trillion baht (about $83.58 billion), with between 35.5 and 36.5 million foreign tourists visiting Thailand, he said in a statement.

The council noted that the kingdom is expected to see a new high in tourism revenue next year, with up to 40 million foreign arrivals, driven by high-spending travellers, sustainability initiatives and a balanced distribution of tourists across major and emerging destinations.