The Tourism and Sports Ministry is set to propose a domestic travel stimulus plan worth 5 billion baht to the economic cabinet this Friday, aiming to cushion the impact of the coronavirus for the services sector nationwide.
Tourism and Sports Minister Phiphat Ratchakitprakarn said domestic tourism is the priority target during this difficult time. The government should implement the plan to accelerate domestic travel activities, giving local travellers more purchasing power, he said.
Mr Phiphat said the 5-billion-baht budget will come from the 2020 central budget.
Under the scheme, the government will offer 1,000 baht each to 5 million local travellers via the Pao Tang mobile app from Krungthai Bank to buy tour packages to areas outside their home registration province with the condition of at least one night stay.
Each province will receive a different quota amount based on population. Tourists have to start their trips at their hometowns.
The Tourism Authority of Thailand (TAT) and tourism associations nationwide will come up with the tour packages, generating income for buses, hotels, restaurants, shops and tourism destinations, he said.
Mr Phiphat expects the tourism scheme will stimulate expenditure of 25 billion baht in the Thai economy.
He said the ministry estimates the pandemic will slow after Songkran and hopefully be under complete control from June.
Mr Phiphat plans to discuss with the Education Ministry delaying the new school semester from May to create a flow of tourists, particularly families that may benefit from a longer school break.
The ministry has a meeting scheduled today with the Budget Bureau to discuss fiscal adjustment for 2020-21 such as allocating a budget for hosting events that were cancelled because of the virus scare to other fruitful activities instead.
TAT governor Yuthasak Supasorn said controlling the outbreak is the priority for the agency.
Local travellers are still hesitant, so the TAT has to find solutions to refresh their sentiment, said Mr Yuthasak.
He suggested local travellers travel and organise meetings in small groups for a few months, in compliance with guidelines for disease control.
The Public Health Ministry recently issued an announcement for South Korea, China, Italy, Iran, Hong Kong and Macau as high-risk zones for the virus.
Vichit Prakobgosol, president of the Association of Thai Travel Agents, said while this policy may help stop the Covid-19 spread within Thailand, the lack of concrete control measures has created a panic among international tourists.
Mr Vichit said the government has to signpost notices early for operators to prepare their businesses and inform their customers in advance to avoid any confusion.
In addition to the latest domestic stimulus plan, the ministry will propose to the cabinet this Friday other measures for local operators such as more accessible soft loans for small businesses and waiving both principal and interest payments for one year, said Mr Phiphat.
He insists on promoting visa-free entry for two major tourist markets, Chinese and Indians, as well as seeking further clarity on the extension of the 2,000-baht visa-on-arrival fee waiver within this month because the existing exemption is scheduled to expire on April 30.