Thailand is a well-known destination for tourists from all over the world. The country is known for its diverse culture, beautiful beaches, mouth-watering cuisine, and friendly locals. But have you ever wondered how much tourism contributes to Thailand’s economy?
The Importance of Tourism in Thailand
Tourism plays a vital role in Thailand’s economy. It is one of the country’s largest industries, contributing significantly to the national GDP. According to the World Travel and Tourism Council (WTTC), travel and tourism directly contributed 5.3% to Thailand’s GDP in 2019 and supported over 2 million jobs.
Thailand has been successful in drawing tourists from all parts of the world. In 2019, the country welcomed over 39 million international visitors – an increase of almost 4% compared to the previous year. The majority of these visitors were from China (28%), followed by Malaysia (11%) and India (4%).
How Much Revenue Does Tourism Generate?
Tourism generates significant revenue for Thailand’s economy. According to the Ministry of Tourism and Sports, international visitors spent approximately THB1.93 trillion (USD62 billion) in Thailand in 2019 – an increase of 4% compared to the previous year.
The revenue generated by tourism has a multiplier effect on the economy since it supports various sectors such as hospitality, transportation, retail, and entertainment. For example, when tourists spend money on hotels or restaurants, it creates job opportunities for locals who work in these businesses.
The Impact of COVID-19 on Thai Tourism
The COVID-19 pandemic has had a severe impact on global tourism including Thailand. The country closed its borders to foreign tourists in March 2020 to prevent the spread of the virus.
The closure of borders has had a significant impact on Thailand’s economy since tourism accounts for a large portion of GDP and job creation. According to the Bank of Thailand, the number of international visitors is expected to decline by 80% in 2020 compared to the previous year.
The Thai government has initiated various measures to support the tourism industry such as offering financial aid to small and medium-sized businesses and promoting domestic tourism. The government plans to gradually reopen the country’s borders for international tourists from October 2021.
Conclusion
Tourism is an essential part of Thailand’s economy, contributing significantly to GDP and job creation. The country has been successful in attracting millions of tourists from all over the world.
However, the COVID-19 pandemic has had a severe impact on Thailand’s tourism industry, leading to a decline in revenue and job losses. The Thai government is taking measures to support the industry and gradually reopen its borders for international tourists.