February holidays set for splurge

Thais are expected to splash out a combined 60.7 billion baht during the Lunar New Year holiday and Valentine’s Day.

Chinese New Year, which runs Feb 14-16, is expected to trigger 56.9 billion baht worth of spending, the highest in 10 years and up 3.5% from last year’s season, said Thanavath Phonvichai, vice-president for research at the University of the Thai Chamber of Commerce (UTCC).

“Spending is anticipated to become more active this year, thanks to improving consumer confidence in the country’s economic growth and higher tourism,” Mr Thanavath said.

The Tourism Authority of Thailand expects 300,000 visitors from China during the Lunar New Year holiday, up nearly 18% from a year ago.

During the same holiday in 2017, the number of visitors from China was curbed by a crackdown on zero-dollar package tours and the mourning period for the late King Bhumibol Adulyadej.

Tourism accounts for 12% of Thailand’s GDP and is one of the key drivers of economic growth. China is the largest source market for visitors to Thailand.

In 2017, about 255,000 Chinese tourists visited during the Lunar New Year.

The Tourism and Sports Ministry said last month that it expected this year’s tourist arrivals to hit a record of 37.6 million, contributing 2.1 trillion baht in spending.

Chinese tourists, who accounted for nearly one-third of last year’s record 35 million arrivals, are expected to increase this year to about 10 million from last year’s 9.8 million.

As home to one of the world’s largest ethnic Chinese communities, Thailand has become increasingly popular with Chinese tourists in recent years.

Leading retail operators have budgeted more than 500 million baht to lure customers during the festivities, which will extend until the end of February.

Central Pattana, Siam Piwat Co, The Mall Group, Big C Supercenter and Future Park Rangsit are spending big to decorate their shopping centres.

Operators will attempt to lure customers with offers of World Cup tickets, Mini Cooper cars, cashback rewards, gold pendants, deep discounts and cultural performances.

The UTCC expects spending on Valentine’s Day to rise by 3.1% year-on-year to 3.82 billion baht, the highest in 11 years.

PAWAT LAOPAISARNTAKSIN A woman chooses Chinese New Year decorations at a shop in Bangkok’s Chinatown. The UTCC forecasts 56.9 billion baht in spending to mark the holiday.