The Cabinet approved yesterday more stimulus measures to support domestic tourism to recover some of the losses from the absence of global travel after the coronavirus pandemic shut borders, a government official said.
The government will increase benefits contained in an earlier package including subsidies for hotels and flights, deputy government spokeswoman Rachada Dhnadirek told in a briefing.
A 40% discount will cover 10 hotel nights for each traveller, up from 5 nights earlier, while a subsidy on flights will double to 2,000 baht, she said.
The tourism-reliant country has had no foreign tourists since April due to the travel ban.
Thailand expects to receive 8 million foreign tourists this year, down 80% from last year’s record 39.8 million visitors whose spending accounted for 11.4% of GDP.
The cabinet also approved keeping valued-added tax at 7% for another year until September 2021 to help reduce living costs and lift business confidence, Finance Minister Predee Daochai said in a statement. The VAT will be reviewed yearly.
“That will help economic recovery after the Covid-19 outbreak situation eases,” he added.
Source: Bangkok Post