Digital Payments Fuel Sustainable Growth as Thai Tourism Revenue Hits 1.7 Trillion Baht
A joint report by Visa and the Bank of Thailand reveals foreign card spending has hit 327 billion baht, as travellers move away from cash for daily purchases
- Thailand's tourism revenue has exceeded 1.7 trillion baht, with a record 327 billion baht contributed by foreign card spending, indicating a significant shift away from cash.
- This growth is driven by a rise in "small-ticket" digital transactions, as tourists increasingly use cards for everyday purchases under 500 baht, such as groceries and convenience store items.
- Despite this trend, a "digital gap" persists, with cash still accounting for 78% of transaction value due to limited digital payment infrastructure among Small and Medium Enterprises (SMEs).
- To ensure sustainable growth, the Bank of Thailand and Visa are focused on expanding digital payment acceptance among SMEs to create a more seamless and inclusive ecosystem for tourists.
A joint report by Visa and the Bank of Thailand reveals foreign card spending has hit 327 billion baht, as travellers move away from cash for daily purchases.
International tourism continues to serve as the cornerstone of the Thai economy, contributing approximately 9% of the nation’s GDP with total revenues exceeding 1.7 trillion baht.
However, a new analysis suggests that the real transformation lies in a rapid shift towards digital ecosystems.
In a report detailing a joint study by Visa Thailand and the Bank of Thailand (BoT), Witchuda Chitchan notes that foreign card spending hit a record 327 billion baht in 2024.
This represents 20% of all tourist transactions and a total of 100 million individual payments—a volume that significantly exceeds pre-pandemic levels, particularly in hubs such as Bangkok and Phuket.
The Rise of ‘Small-Ticket’ Digital Payments
While traditional high-value sectors such as accommodation (35%) and dining (23%) remain dominant, Chitchan’s findings highlight a burgeoning trend in "small-ticket" transactions—purchases valued at under 500 baht.
The report, titled “In-depth Insights into Tourist Payment Behaviour,” identifies key regional drivers:
South Korean Tourists: Over 37% of their digital transactions are for daily essentials and groceries under 500 baht.
Malaysian Tourists: Approximately 34% of their transactions are micro-payments at convenience stores, with 90% of all payments falling below 5,000 baht.
Indian Tourists: Around 36% of card use is for low-value food and beverage purchases.
Bridging the SME ‘Digital Gap’
Despite this momentum, cash still accounts for 78% of total transaction value, largely due to infrastructure limitations among Small and Medium Enterprises (SMEs).
The study found that 81% of travellers feel anxious about payment methods before arriving, while 58% encountered actual payment difficulties during their stay.
As Thansettakij's reporter Witchuda reports, while cross-border QR payments are gaining traction—reaching 2.49 billion baht in 2024 across eight partner countries—and E-money transactions (popular with Chinese visitors) hit 34 billion baht, the network remains fragmented.
Towards a Seamless Ecosystem
The BoT and Visa have reached a consensus that expanding digital acceptance points and integrating SMEs into the digital fold is vital for Thailand’s long-term competitiveness.
By fostering a secure and inclusive payment ecosystem, the authorities aim to ensure Thailand remains a world-leading, sustainable destination for the digital-savvy modern traveller.
