Poor tourism revenue outlook despite rising flights

• Despite the ongoing resumption of more international flights to Thailand, visitors’ spending is forecast to be lower than expected.
• Tourism Authority of Thailand (TAT) governor Yuthasak Supasorn said recovery of the sector is gaining momentum in terms of numbers, with the country expected to see a total of 6 million international visitors by the end of Sep 22 and then an extra 1.5 million tourists a month in 4Q22.
• By the end of 2022, overall inbound numbers might hover at around 10 million following a resumption of international flights that could reach more than 50% of pre-pandemic levels.
• However, the Ministry of Tourism and Sports recently revised down its target for revenue to THB1.08tr from THB1.2tr, which was the third time it had to downgrade the forecast due to weaker purchasing power.
• At the beginning of 2022, the ministry set its target at THB1.5tr.
• Nuntaporn Komonsittivate, head of commercial operations at Thai Lion Air, said international flights could resume more slowly than domestic routes, of which the airline has resumed all destinations covered prior to the pandemic.
• The sluggish recovery is mainly attributed to various entry restrictions that remain in place in some countries, such as Japan and Taiwan.

External Link : https://www.bangkokpost.com/business/2395583/poor-revenue-outlook-despite-rising-flights