Thai hotels are facing losses of up to 173 million baht, following the collapse of German tour operator, the FTI Group.
This is a significant increase on the 111 million baht initially estimated, with the Thai Hotels Association saying a total of 179 hotels across Thailand have been affected. Most of those are in the south of the country, with losses there estimated at 141 million baht.
In Bangkok and in the east of the country, the fallout is also having a significant impact, with losses of 19 million baht and 8.4 million baht, respectively, according to a press release from the Thai government PR department.
Both independent and international chain hotels have been affected, with the THA saying the properties have been unable to receive any payments from the bankrupt FTI Group. It’s understood that some hotels that rely heavily on the European market now face losses of more than 10 million baht.
The THA has written to the Tourism Authority of Thailand on its members’ behalf, urging the Tourism and Sports Ministry and the Germany Embassy to provide assistance.
Meanwhile, THA president Thienprasit Chaiyapatranu is calling on Thailand’s new PM, Paetongtarn Shinawatra, to actively promote tourism, saying it’s vital to maintain momentum ahead of the impending high season.
He adds that hotel occupancy in the south of the country stands at 60%, similar to the same period last year.
Meanwhile, hotel operators in the region remain optimistic that the Paetongtarn administration will continue with infrastructure projects outlined by the previous administration, in particular the planned airport in Phang Nga, which they say is vital to easing congestion at Phuket Airport.
SOURCE: National News Bureau of Thailand
