Thailand's Tourism Rank Rises to 38th, But Weak Spots Could Stall Growth

 

WEF index lifts Thailand 10 places, but weak local benefits, fossil power and skills gaps threaten a top-30 goal, ex-TAT chief says.

 

Thailand has climbed 10 places to 38th among 110 economies in the World Economic Forum's Travel & Tourism Development Index (TTDI) 2026.

 

The rise shows the resilience of its tourism sector, but it also exposes structural weaknesses that could slow the country's push towards the global top 30. Thailand scored 4.35 out of 7, up 5.6 per cent from the 2024 edition.

 

The WEF named it among the 10 most improved economies, seven of which are developing countries in South-East and South Asia, including Lao PDR (+6.1 per cent) and Malaysia (+5.8 per cent).

 

Yuthasak Supasorn, former governor of the Tourism Authority of Thailand (TAT), said the move to 38th proved that the appeal and resilience of Thai tourism remain strong.

 

But Singapore, Malaysia and Indonesia are using infrastructure and technology to gain an edge, he said, and relying on culture, nature, visa-free entry and low prices will not guarantee future leadership.

 

Thailand's next step, he said, is not building volume but "the art of managing growth".

 

 

 

How ASEAN compares

Singapore leads the region in 13th place with 4.89, up one place. Indonesia is 23rd (4.56), down one. Malaysia made the region's biggest jump, rising 13 places to 26th (4.50).

 

Thailand follows in 38th, ahead of Viet Nam in 52nd (up seven), the Philippines in 57th (up eight) and Lao PDR in 75th (up 10). Cambodia was dropped from this edition's coverage. Thailand's score is above the South-East Asian average of 4.32.

 

 

 

 

What lifted Thailand

The WEF said Asia-Pacific was the most improved region, with its average score rising 3.6 per cent as it continued to recover from a delayed post-pandemic reopening.

 

South-East Asia recorded the world's biggest gains in Cultural Resources (+26.5 per cent) and in ICT Readiness (+14.7 per cent). Cultural Resources was also Thailand's standout.

 

Its 42 per cent improvement was the largest of any economy in that pillar, which was the most improved in the whole index. Visa openness is part of the wider picture.

 

The WEF found that only about a third of economies eased visa requirements between 2024 and 2026, with much of the progress in Asia-Pacific and the Middle East.

 

Yuthasak listed free visas among Thailand's advantages.

 

 

Better at attracting than converting

Thanawan Winaisathien of Thansettakij reported that, across the index's 17 pillars, Thailand is strong at drawing visitors but weaker at turning them into lasting value, with five structural weaknesses.

 

The lowest score is for tourism's socio-economic impact, where Thailand ranks 106th. Large sums circulate, but little reaches local communities, with much of the revenue flowing to big companies and multinationals and few high-paying jobs created. Environmental sustainability ranks 76th, as tourism growth relies heavily on fossil-fuelled electricity.

 

Hotels and visitor facilities have not kept pace with demand, creating capacity bottlenecks in popular destinations. Ground and port infrastructure ranks 43rd, and weak road density and public transport make it hard to disperse visitors to secondary cities. Human resources rank 50th, with a shortage of skilled and digitally capable staff. 

 

 

 

The WEF warns that by 2035 the global sector could face a shortfall of 43 million workers, or 16 per cent. Thailand ranks 58th for ICT, where connectivity and digital payments have improved but small businesses make little use of AI and cloud tools.

 

The "cheap destination" era is also ending. Thailand once ranked seventh globally for price competitiveness, but the WEF found that price competitiveness fell in three-quarters of economies as travel costs outpaced inflation.

 

As Thai costs approach those of Malaysia or Taiwan, travellers will weigh value for money, which depends on infrastructure, cleanliness, safety and service innovation.

 

The analysis identified three risks that could become a crisis if left unaddressed.

 

 

First, free visas bring visitors faster than roads, airports, transport and local utilities can cope, which leads to waste, sewage and damaged infrastructure, and poor experiences that harm the national brand.

 

Second, using volume to offset higher costs only deepens congestion. Third, if Thai operators cannot use technology to manage visitor flows and revenue, the benefits will flow to foreign online travel platforms.

 

 

 

Five proposals for the top 30

Yuthasak put forward five policy proposals:

Make environmental sustainability a national agenda. This would include low-interest green financing for hotels to install solar panels and wastewater treatment and cut plastic waste, along with strict carrying capacities in national parks, World Heritage sites and islands. Dynamic pricing would shift visitors to quieter periods.

Close the investment gap and connect secondary cities. Public-private partnerships would solve the last-mile problem with electric minibuses linking airports and rail stations to attractions, supported by joint ticketing. Zoning rules and hotel law would be revised to allow new types of investment, such as eco-lodges.

Build a longevity tourism and medical hub. Medical services, property, spas, nutrition and community health would be combined in one ecosystem focused on preventive care, with targeted long-stay visas and health insurance for retirees from advanced economies. The aim is higher income per visitor rather than more visitors.

Treat data and AI as national infrastructure. A national open-data knowledge graph would bring together locations, accommodation, activities, festivals and transport networks in an open standard so global AI and search tools can display them accurately, multiplying the visibility of secondary cities.

Upgrade service-sector human capital. A national upskilling platform, run with vocational colleges, would teach AI in service work, a third language and high-end hospitality skills. Pay, working conditions and time flexibility would also be improved to draw skilled workers back to the industry.

 

Reaching the top 30, Yuthasak said, will happen only when tourism creates an ecosystem of wealth that distributes income fairly and delivers lasting value to future generations.