Ministry pitches ฿1.75bn 'Thai Tiew Thai Plus' scheme to boost tourism

The Ministry of Tourism and Sports is preparing to request 1.75 billion baht from the government’s central budget to fund a new economic stimulus campaign called ‘Thai Tiew Thai Plus’ (Thais Travel Thailand Plus), aimed at boosting domestic tourism later this year.

Under the proposed scheme, the tax payer will subsidise 50% of accommodation costs, up to a maximum of 3,000 baht per person, capped at 500,000 privileges.

The package will also include a 500-baht digital coupon per privilege, which beneficiaries can spend on dining, transportation or other tourism-related services.

The ministry aims to open registration and use of the privileges by the end of this year via the ‘Pao Tang’ mobile application.

The ministry expects the campaign will generate more than 32 billion baht in economic circulation.

To reduce travel expenses further and distribute income regionally, the government has prepared a supplementary domestic airfare subsidy. The measure will offer a 400-baht discount per seat per flight for travel to major provinces, and a 600-baht discount per seat per flight for trips to secondary destinations.

The airfare initiative aims to support travel by approximately 200,000 holidaymakers, accounting for roughly 400,000 plane seats.

The private sector has, however, urged the government to reconsider the timing of the campaign.

Thai Hotels Association (THA) President Thienprasit Chaiyapatranun pointed out that launching the scheme during the year-end high season might not effectively support operators, given that tourist numbers are already naturally elevated during that period.

Thienprasit suggested the budget would deliver better value if redirected to stimulate travel during the low season, noting that nationwide hotel occupancy rates averaged just 52% in June and are projected to decline further into the third quarter.

If the government insists on a high-season rollout, the THA proposes restricting the privileges to weekday travel, to help distribute tourist traffic and ease weekend overcrowding.

Meanwhile, the Civil Aviation Authority of Thailand (CAAT) is closely monitoring airline operating costs following a sharp surge in aviation fuel prices, driven by conflict in the Middle East.

Jet fuel prices have skyrocketed, from the typical US$85–$90 per barrel range to more than $200 per barrel, according to Air Chief Marshal Manat Chavanaprayoon, director general of the CAAT.

Manat noted that, if the latest round of regional clashes does not become protracted, airfares have a good chance of softening. The CAAT will continue to inspect the costs and financial statements of individual carriers, to ensure that ticketing prices remain fair and reasonable for consumers.

The CAAT is coordinating with relevant agencies to explore cost-reduction measures for airlines, such as lowering airport landing fees and air navigation charges, to sustain the aviation business and alleviate upward pressure on ticket prices. The regulator is also encouraging budget carriers to launch more direct routes to secondary cities, provided they can maintain an average passenger load factor of no less than 70% per flight.