Authorities in Thailand continue their investigation into Monday’s bombing that killed at least 20 people and injured more than 120 others in Bangkok. On Tuesday, a smaller explosive was tossed from a bridge near a pier. It fell into the water, and no one was injured. But government leaders are concerned about the impact of the violence on a critical part of the Thai economy: tourism. HPR’s Bill Dorman more in today’s Asia Minute.
Thailand expects some 29-million visitors this year…about three and a half times the number Hawai‘i is likely to host. Tourism plays a critical role in Thailand’s economy…and has been one of the bright spots this year. Just this week, the government announced economic growth of less than 3% in the latest quarter—and the short to medium term outlook is challenging.
China’s recent currency devaluation hurts Thai exports…manufacturing is already down…and a stubborn drought has hit agricultural production.
Up to now, tourism had been growing this year, first half visitor arrivals up 30% from 2014. But Thailand’s Foreign Ministry says nearly two-dozen countries have now issued travel advisories of varying degrees of severity. Those advisories may pass—but images of the violence threaten to linger. Nine foreigners were among the dead...including visitors from Hong Kong, Singapore, Indonesia, Malaysia and China.
The Chinese market has become crucial…the Tourism Authority of Thailand says it’s now grown to twenty-percent of all visitors to the country. Officials in the hospitality industry say they are expecting a certain amount of short-term cancellations, but this is not Thailand’s high season for tourism. That key period gets underway in October.
