The Stocks of travel services and Thai baht rise as the government eases restrictions on foreign tourism. Since August, the Thai baht has risen the most against the US dollar, as fewer travel restrictions for foreign tourists boosted the country’s tourism-dependent economy.
Even though other Asian currencies were down this week, the Thai baht surged to a two-week high after the government ended quarantine restrictions for vaccinated tourists from low-risk nations to boost the country’s vital tourism industry. The Thai baht rose by up to 1.1 percent, reaching its highest level since late September. Also, shares of Thailand’s hotels and airlines are soaring in early trade on Tuesday, October 12.
Due to an unexpected drop in international tourist visits to 70,000 in the first eight months of this year, from almost 40 million tourists who spent over $60 billion in income in 2019. As international arrivals fell by 83% to 6.7 million, Thailand has seen losses in tourist income of nearly $50 billion since 2020. Now the country seems to be moving forward with their living with Covid-19 plan.
In January 2020, Thailand became the first country outside of China to register a Covid 19 case. Due to the third outbreak, which began in April of this year.
There is a curfew in Bangkok and other places from 10 pm to 4 am. Alcohol is also banned from restaurants and other onsite businesses. Since July 2021, the country has seen around 10,000 new cases of infections each day. About a third of the country’s 70 million residents are fully vaccinated and about half of the population has already got one dose.
Bangkok Getting Ready For Reopening
The Bangkok Governor vowed to fully vaccinate at least 70 percent of residents in Bangkok within this month, in time for the city’s reopening, which is due next month. The Governor said they had prepared six mobile vaccination units for the vaccination drive. The governor added that each Mobile Vaccination Unit could administer up to 600 doses a day, and by October, 70% of people in Bangkok will get their second doses.
The Bangkok Governor vowed to fully vaccinate at least 70 percent of residents in Bangkok within this month, in time for the city’s reopening, which is due next month. The Governor said they had prepared six mobile vaccination units for the vaccination drive. The governor added that each Mobile Vaccination Unit could administer up to 600 doses a day, and by October, 70% of people in Bangkok will get their second doses.
Thailand’s Great Reopening To International Tourists
The great reopening to international tourists began with a trial reopening this summer on Phuket with the sandbox program. The Sandbox program allows vaccinated foreign tourists to be quarantined in a hotel for at least 14 days. Then in September, visitors are not required to stay in their hotel but are free to wander around Phuket as they want, and then after 14 days, they are allowed to travel anywhere in Thailand.
On Monday, October 11, the Thai Prime Minister stated in a televised address that Thailand would end quarantine for fully vaccinated visitors travelling by flights from nations designated as low risk beginning November 1. He also stated that the necessity for coronavirus quarantine would be lifted for at least ten nations, including the United States, the United Kingdom, China, Singapore, Germany, and 5 other countries.
Thailand may potentially allow the reopening of entertainment venues, other nightlife activities and the selling of alcoholic beverages in restaurants and bars on December 1. On that date, the government intended to open Thailand to other countries. The Tourism Authority of Thailand estimates that just 100,000 foreigners will visit Thailand this year.
Before you get too excited about the reopening without any quarantine, there is a new tax/fee coming soon.
Thailand’s New Tourist Tax/Fee
This is an ever-reoccurring event, where the Thai government charges tourists. The Thai government is planning to impose a tourist tax starting in 2022, with the proceeds claiming to support tourism-related initiatives.
At first, Thai media reported the new tax was 300 baht, not 500 baht per tourist. It is based on the revised National Tourism Policy Act, which authorizes the Tourism Ministry to impose a tourism fee for use in developing local destinations. The money will also be used to provide health insurance benefits to international tourists. 34 baht from the 300 is “expected” to be used for health insurance coverage. But now they changed their mind and planned to charge 500 baht per tourist. Who knows what the fee will be once they finally implement it next year.
The Tourism Minister sees the current opportunity to reform its methods after being ravaged by the pandemic’s destruction and the growing severity of the climate crisis. Fortunately, several nations (and enterprises) are increasingly being offered eco-friendly alternatives to mass tourism throughout the world.
Attempts to change the character of Thailand’s tourism sector are being made at increasing frequency. The Thai government sees an opportunity to shift away from mass tourism, and low-cost resort vacations, and invest in more ecologically friendly choices by imposing a charge on all foreign visitors of 500 baht (around $15).
With this new tax, at least 6 billion baht will be collected from tourists in the first year, and that money would be used to create an entirely new economic model for the country’s tourism industry. The Bangkok Post reports that the cash will be used to build eco-friendly initiatives and to make Thailand a safer, cleaner destination.
What Is Eco-Friendly Initiatives?
The most important thing we like to know is. What exactly do eco-friendly initiatives do? Transparency in the utilization of funding for industry improvement is required. Because many tourists used to visit Thailand on a yearly basis before Covid-19, so it’s the least they can expect.
Don’t forget there is already a 700 baht airport tax each time you depart from Bangkok airport. That tax is already included in your ticket. Other nations charge you this too. But this 500 baht tax is something new, and how can we know where the money is going to the right place? Many in the tourism industry are afraid that next year’s 500 baht tax on foreign visitors would not be a good fit during the desperate need for a revival of tourism.
The Thai government seems to forget that a large group of foreign tourists travel to Thailand is because it’s a cheap and fun destination. If they take out the cheap part of Thailand, only a fraction of those foreign tourists will return.
According to the Thai Hotels Association, the idea of establishing a tourist sector for an eco-friendly initiative is attractive, but there are uncertainties next year that might jeopardize tourism. Analysts predict that while the number of visitors from outside may not grow rapidly, overall economic activity will.
