Tourism council seeks debt relief for struggling operators amid downturn

The tourism industry has called on the government to subsidise some of the debt that operators are bearing in the current tough situation if it wants to maintain the country’s status as a popular destination for tourists.

Ittirit Kinglake, president of the Tourism Council of Thailand, said many operators were facing financial problems because there were too few customers. While the number of arrivals is increasing, particularly from China, this is not enough of a stimulus for the entire industry, as travel from other key markets such as Japan and Europe is still slow.

He urged the government to ask financial institutions to waive or lower loan interest in order to save operators. This would be an effective measure to help the private sector for a short time.

Representatives of hotels and tour operators have called on the government to maintain the country as a popular destination by publicising more areas of the country as tourist attractions as well as recognising the sector as a key economic driver.

"If the government wants to maintain the country as a top destination, it should support tourism even in tough situations. We will be entering high season in a few months," Ittirit said.

The industry also wants the government to improve infrastructure and to draft long-term plans for tourism.

Hotel and travel operators yesterday met with MR Pridiyathorn Devakula, the deputy prime minister charged with overseeing the tourism sector. They said tourism was down because of internal political conflicts and the economic slowdown.

Pridiyathorn said the government was speeding the tourism sector forward as it was the only sector driving the economy.

He said Thailand could be developed as an Asian gateway, particularly for China, Myanmar and Laos. The country can be compared to France, which is a link to the rest of Europe.

Moreover, he said the sector should have rebounded from the earlier crisis, but still faced turbulence.

"We can seek more products and attractions to lure visitors, aside from sun, sand and sea," he said.

Pridiyathorn said he had asked the Tourism and Sports Ministry to initiate strategies to market the country globally. One of his proposals is to restrict and control tourists’ inappropriate behaviour, which could damage the whole industry.

In the first 12 days of this month, Thailand welcomed 953,150 foreign visitors, an increase of 43 per cent compared with same period last year. China remained the top source of arrivals, followed by Malaysia.

Tourism and Sports Minister Kobkarn Wattanavrangkul said the current economic problems in China should not have much of an impact on Thailand because many middle-class and upper-market people still planned to travel here.