The Thai Cabinet has approved an emergency budget for bolstering tourism in the second half to cushion the impact of the economic slowdown, with the additional funding approved for the Tourism Authority of Thailand for the third and fourth quarter of 2007 to stimulate tourism during the economic slowdown, while the TAT aims for a lower target.
TAT has received approval for an additional Bt239 budget to be used to stimulate tourism during the second half of the year. The funding was announced on 3 July after a cabinet meeting.
The amount, revised from the previous proposal of Bt500 million, pulls Bt160 million away from the budget for the Chiang Mai Convention Centre, with some of this money has not yet been used and Bt79 million from the previous year.
TAT said that the cut of over half of the original proposal of Bt500 million made to the cabinet on 19 June, prompted the agency to lower its 2007 target for international arrivals from 14.8 million tourists to 14.6 million and revenue projections have also been dropped from Bt547.5 billion to Bt539.4 billion.
TAT tagged Bt124 million of the additional money to be used in public relations for the international market and Bt115 million for domestic promotion.
TAT is targeting eight overseas markets with these funds, according to their potential as short and middle distance countries. Japan , Korea , Hong Kong , Singapore , UK , Scandinavia , Australia and Middle East are all potential short distance markets, while Europe and Oceania are included as middle distance markets.
On 2 July, one day before the go-ahead for this budget, the government agreed Bt68 million for TAT through the Thailand Tourism Promotion Fund committee meeting headed by deputy prime minister, Paiboon Watthanasiritham, with this budget reserved for urgent projects that lack funding.
Five projects were on the TAT list. Bt5 million is earmarked for TAT’s public relations activities and promotions in America and Bt5 million [about $A185,000]is for the Australian and European markets.
The projects will run through October.
The remainder is targeted for four international events being held in Thailand this year, Bt15 million for the International Performing Arts and Music Festival, Bt3 million for the Sukhothai Loi Krathong Festival, Bt20 million for LPG golf tournament and Bt20 million for ATP Thailand Tennis Open.
Report by The Mole
