Bangkok Tourism Dwindles

December 4, 2013

Seven private sectors made a statement together to express their concerns to request every side to negotiate peacefully according to democracy to solve the problem of political conflict before Thailand becomes a failed state.

7 private sectors expressed their standpoints
At Dusit Thani hotel, a journalist reported that 7 institutes of the private sector which consisted of The Thai Chamber of Commerce, The Federation of Thai Industries, The Thai Banks Association, The Tourism Council of Thailand, Federation of Thai Capital Market Organizations, The Securities Exchange of Thailand and Thai Listed Companies Association together made a statement to express for their concerns about the political unrest.
Mr. Issara Wongkusolkit (The Chairman of The Thai Chamber of Commerce) read a statement after the consultation that the political unrest at present has severely impacted the economics, society and the confidence in many sectors such as commerce, industry, consumption, tourism and the country’s investment. The private sector requested all parties to stop the confrontation.

Mr. Issara indicated that with all of these reasons, 7 institutes of private sector together made a statement to request 4 points which consisted of 1. The private sectors are ready to join with every sector in order to find a solution for Thailand by sticking to the principle of law and morality which they will cooperate with various institutions such as the private sector institutions, educational institutions, mass media institutions and including the people who are accepted by the society. 2. The problem of conflict should be solved by negotiation not violence or any action that disobey to the law or the rules of democracy which the private sectors are ready to support with every side that initiates to negotiation and are willing to be the part of every process. 3. To give opinion about politics are the rights within the frame of law but the private sectors don’t agree with the process that uses violence in solving problems of the country and think that the using a political strategy with the setting of conditions will lead to the loss that may cause danger to people’s life and this incident will be recorded in the history of Thailand 4. The private sector think that one way that will lead to peacefulness is to behave according to the rules by finding out for solution in the way of democracy in order to prevent the repeated situations after elections that will cause problems as in the past. Therefore, the private sector would like to offer for the negotiation among all involved parties in order to have the preliminary settlement before the election which there are the representatives of organizations that are accepted by every parties come to join the negation in various issues.

“The private sector pleads that every party should recognize the damage it has caused to the country in the aspects of economics, society, family and mental conditions including image, confidence and credibility of Thailand in the viewpoint of world society. If the situation still prolongs further, Thailand will be regarded as a failed state under the anarchic system. Therefore, the private sector would like to request the government to find a solution to resolve the conflict as soon as possible.” said Mr. Issara.

Tourism may lose revenue for 25,000 million THB
Mrs. Piyamarn Techaphaibul (The Chairman of The Tourism Council of Thailand) said that the total number of tourists in November 2013 with comparison to at the same time in November 2012 found that the total number of tourists increased by 11%, however, from the violent incident at present caused 33 countries of 68 countries warned their tourists about traveling to Thailand in the 2nd level which if they warn their tourists up to the 5th level it may cause decreasing numbers of tourists in December or during the high season to 8-10% that means the tourism will decrease by 500,000 people at a revenue of 25,000 million THB. But for the whole year goal that estimates at 21.6 million tourists will travel to Thailand with the tourism revenue of 1.18 million million THB.

Foreign capitalists sold out the shares
Mr. Phaibul Nalintharangkul (The Chairman of Federal of Thai Capital Market Organizations) indicated the political situation caused lower confidence of the foreign capitalists to be at the very low level. Last week many foreign capitalists sold out the shares totalling 17,000 million THB which the total sold out shares in November were 50,000 million THB and throughout the year 2013 they sold out the shares totally 150,000 million THB. He said that one cause was from their anxiety of the turbulence within Thailand and had apparently impacted their cost of investment and will be more difficult to invest. If the problem does not end quickly, it will impact to the economic growth which was previously expected to be up to 5% but at present the growth rate is lower than 3% or it may grow only 2%. For next year, the economic forecast to grow 4-5% but if the political conflict still prolongs further then there might be an economic growth of less than 3%.

Slow down-move the base of investment
Mr. Phayoongsak Chartsutthiphol (The Chairman of The Federation of Thai Industries) said that the political situation has caused severe effect and lowered the confidence of foreign capitalists the same way the floods did. Now the capitalists have started investing in other countries in the same region. In the long term, the capitalists’ interest in investing in Thailand (which at present is the 3rd rank of the region, next down on Indonesia and Vietnam) may be lower than Myanmar.

The tourists flee Bangkok
Mr. Somsak Phureesrisak (The Minister of Tourism and Sports) revealed that from the statistics of foreign tourists that came to Thailand via Suwannabhumi airport during November-December, 2013 had decreased obviously from 50,000 people per day by average to be only 49,000 people per day and it may decrease much more than this. The foreign tourists that arrived at Suwannabhumi airport continued to fly to their destination provinces such as Chiang Mai-Phuket immediately and would not visit Bangkok.

“Now I already command the permanent secretary to operate to provide policy to every involved organizations such as Regional Tourism Authority of Thailand and Provincial Tourism Authority of Thailand to assist the tourists that face with various problems in the country especially from the political unrest and to explain for them in order to reduce their anxiety and by using website of Tourism Authority of Thailand in providing information and coordination throughout 24 hours.” said Mr. Somsak.