Abstract

The Mega Earthquake on March 28 has affected Thailand’s tourism sector, with a significant number of hotel bookings being canceled. Advance bookings for the Songkran festival have also dropped compared to last year. It is projected that foreign tourists will decline by 200,000 to 700,000 this year, resulting in potential revenue loss. The government needs to restore foreign tourist confidence through safety inspections, clear communication, and domestic tourism stimulus measures to accelerate the recovery of Thailand’s tourism sector.


Summary

The Impact of the Mega Earthquake on Thailand’s Tourism Sector

Preliminary data following the mega earthquake on March 28 shows a significant impact on Thailand’s tourism sector. Approximately 1,100 hotel bookings were canceled, with a survey indicating a 25% drop in advance bookings for the Songkran festival compared to last year. This has led to safety concerns among foreign tourists and updates in travel advisories from various countries.

Projected Scenarios for Foreign Tourist Numbers

SCB EIC has assessed three scenarios for the decline in foreign tourists, ranging from 9% to 15% month-on-month, with recovery periods of two to four months. These scenarios could result in a loss of revenue ranging from THB 9.53 billion to THB 33.0 billion. However, the timely restoration of foreign tourist confidence and implementation of domestic tourism stimulus measures can aid in the sector’s recovery.

Steps for Recovery

To restore confidence, the government should conduct safety inspections, provide clear communication, and develop an emergency alert system for foreign tourists. Implementing domestic tourism stimulus measures, such as the “We Travel Together” program, can help offset the impact from the decline in foreign tourists and support the domestic economy.

Source : Aftershocks Start to Shake Thailand’s Tourism Sector

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