Thai tourism in decline after a decade of growth
After years of stable recovery and continuous growth, Thai tourism in 2025 saw The first annual fall in international arrivals in ten years, excluding the pandemic period. According to available data, the country was visited by the end of December around 32.6 million foreign guests, which represents a fall of approximately 7 % compared to the previous year.
The largest number of visitors still comes from neighbouring and regional markets. Malaysia retains its leading position, while China and India remain among the three most important sources of demand. However, A noticeable slowdown was recorded in the second half of the year, which significantly changed the overall dynamics of the season.
A stronger currency, weaker price competitiveness
During 2025, the domestic currency strengthened significantly against the US dollar. This exchange rate shift made accommodation, catering, and wellness offerings more expensive for foreign guests, particularly for price-sensitive segments. This was most felt in leisure destinations that traditionally rely on mass tourism.
Drop in confidence in the Chinese market
A security incident that resonated strongly with the Asian media and social networks further damaged the destination's perception in the Chinese market. Public reactions resulted in a wave of group and individual travel cancellations, which was quickly reflected in arrival statistics.
Vlad's measures to stimulate demand
To alleviate the negative trend, the authorities presented during the year package of incentive measures aimed at international guests. Among these, the idea of subsidised domestic flights for foreign visitors stands out, with the aim of encouraging travel within the country and strengthening less developed tourist regions.
The development of the situation in Thailand shows how exchange rate risk, perception of security and regional stability decisive for Long-term destination planning. For travel agencies and tour operators, this is a clear signal that market diversification and flexible sales models are becoming more important than ever.
Roberto Giubellini
If the Thai government does not understand that strengthening the currency during peak tourist season and increasing prices causes tourists to choose other destinations such as Vietnam and Malaysia, tourists will continue to decline! Not to mention the continuous changes to visa requirements!
Stipan Spaija
Thank you for your comment. I completely agree with you.