In spite of a bright overall outlook for tourism in the year ahead, the specter of political instability continues to loom over the industry says the Centre for Economic and Business Forecasting.
Survey data compiled by the Centre places political trouble ahead of other concerns such as an economic meltdown, disease outbreak, or natural disaster as the top worry amongst the roughly 600 tourist operators polled for the survey. Forty percent of those surveyed felt political stability remained lacking.
According to Centre head Thanavath Phonvichai, tensions over possible Constitutional amendments, lingering territorial disputes, and the potential for mass demonstrations all register as deterrents to planned investment in the industry. Should political tensions provoke a shutdown of major infrastructure, like the international airport or national railway system, the effects could be devastating.
The survey data largely backs up a recent poll of foreign investors which highlighted the negative effects of political conflict and corruption on the overall business climate within the country.
Tourism is a crucial sector within the Thai economy, accounting for hundreds of billions of THB in revenue on top of being a major source of employment. According to The Nation, the Tourism Authority of Thailand (TAT) remains confident it will successfully hit its target of 24.5 million foreign tourists for the new year, an 11.4% increase from 2012.
