Thailand is seeking to shore up its tourism sector in the face of a slump in investor confidence and combat a demographic crisis, with a slew of new longer-stay visas designed to attract more visitors and tempt them to stay and spend for longer.
In June, Thailand’s visa system grew by over 60%, to embrace citizens from 93 different countries for 60 days, up from a former group of 57 nations. Government spokesperson, Chai Wacharonke, told media that visitors from even more countries would also be eligible for visas-on-arrival.
An aging country opens its doors
The measures are designed to make Thailand a more attractive destination, not only for tourists but also retirees. Pensioners will benefit from looser insurance arrangements for foreigners. But as one of the fastest-aging countries in the world, Thailand is also looking to encourage people from younger generations to experience its lifestyle.
As well as extending visa-free stays by a whole month from 30 to 60 days, a new scheme will increase the validity of so-called “digital nomad” visas to five years – a huge leap from the current 60-day permission to stay. Every time they visit within the five-year period, remote workers can now hang around for up to 180 days. What’s more, foreign students will gain the chance to stay an additional year after graduating to travel and look for work.
Arrivals up by a third
The Southeast Asian kingdom is looking to boost a tourism sector which represents almost 20% of its GDP. After a modest few years, it is targeting a record 40 million foreign arrivals for the whole of 2024, bringing with them revenue of 3.5 trillion baht. So far, it has reached 17.5 million foreign tourists who have returned in numbers to destinations including Bangkok, Phuket and Ko Samui for the first two quarters of the year. According to official data, arrivals are up more than a third from last year and have generated over $22 billion in tourism revenue.
But some of that will need to be plowed back into the sector, authorities have noted, if the industry is to cope with the hoped-for influx. “If more people are coming, it means the country as a whole … has to prepare our resources to welcome them,” said Kantapong Thananuangroj, president of the Thai Tourism Promotion Association, who went on to warn: “If not, [the tourists] may not be impressed with the experience they have in Thailand and we may not get a second chance.”
A proposed tourist tax has been scrapped so the money for investment will not be coming from that source, but hoteliers should find some extra capital thanks to a two-year moratorium on their operating fees.
