Thailand Targets 7.5% Increase in Tourism Revenue Next Year

The Tourism Authority of Thailand (TAT) is aiming for a 7.5% growth in revenue, equivalent to 3.4 trillion baht in 2025, while private operators are advocating for airfare subsidies to boost earnings more rapidly.

At the TAT Action Plan 2025 meeting on Monday, board chairman Natthriya Thaweevong highlighted the government’s plan to designate 2025 as the “Thailand Grand Tourism Year,” predicting that tourism could become the most rapidly expanding sector under the “Ignite Thailand” initiative, which consists of eight key areas.

TAT governor Thapanee Kiatphaibool stated that by next year, Thailand aims to rank among the top 14 most-visited nations and expects a notable rise in its sustainable tourism metrics.

The agency has set a conservative budget of 6.23 billion baht for 2025 and targets a tourism revenue growth of 5-7.5%, peaking at an estimated 3.4 trillion baht.

The projected targets for 2025 include welcoming 40 million international visitors and facilitating 220 million domestic journeys.

It is forecasted that foreign visitors will spend an average of 57,180 baht per trip, while domestic travelers are expected to spend a minimum of 4,000 baht each.

Ms. Thapanee mentioned that through various promotional activities and festivals, revenue in second-tier cities could see a significant increase of 25%, compared to 10% this year.

Chamnan Srisawat, president of the TAT, said the last quarter of this year will be pivotal for boosting tourism spending to meet the government’s previous targets of 3 trillion baht from 36.7 million international tourists and 200 million domestic travels.

Chamnan noted that achieving the new revenue target of 3.5 trillion baht is feasible but will require aggressive marketing strategies in both domestic and international markets, particularly targeting high-income groups.

For the international market, Mr. Chamnan recommends that the TAT collaborate with tour operators to introduce special airfare packages, tasking 29 TAT overseas offices to develop packages with at least ten tour companies each.

He identified the Middle East as a key market with significant potential, especially in the medical and wellness sectors.

Chamnan believes promoting 55 second-tier tourism cities is a step towards sustainable tourism growth, but it requires a comprehensive strategy for enhancing infrastructure and services.

He also suggested incentivizing investment in hospitals with Joint Commission International accreditation in provinces that have border checkpoints, aiming to expand the medical tourism market to neighboring countries.