In 2023, there is a significant increase in interest in buying property in Thailand, especially among Chinese and Russian investors. Sales are forecast to increase by 25% over the previous year, driven in part by the introduction of free visa programs. The contribution of foreign investment to the Thai economy is significant, accounting for about 12% of the country's total gross domestic product.

 

The lifting of visa restrictions and current geopolitical events have contributed to an increase in demand for real estate, exceeding levels seen before the pandemic. According to reports from the Real Estate Information Center, more than 14,000 properties have been sold so far this year, valued at approximately 73 billion baht, a significant increase from last year.

 

Chinese investors purchased the largest number of properties, accounting for almost half of total sales, while Russian buyers took second place. Chonburi province, known for its beaches and industrial areas, led the way in the number of condominiums sold, while Thailand's capital, Bangkok, attracted 38% of foreign buyers.

 

Preferential visa conditions for citizens of China and other countries, as well as bilateral visa exemptions with China since March of this year, contributed to the acceleration of sales. Geopolitical conflicts such as tensions between Russia and Ukraine, as well as instability in Myanmar, also weighed on the market.

 

According to Vichai Weeratkaphan, interim director of the information center, current trends point to an improvement in the situation and a return to normalcy in the real estate market post-pandemic. Sales last year exceeded those of 2019, confirming renewed interest in Thai real estate from foreign investors.

 

Thai government chief Srettha Thaweesin sees the tourism industry as key to the nation's economic progress, contributing 12% of GDP and employing nearly 20% of the population. Last year, the country lifted visa restrictions for citizens of China, Russia, Kazakhstan, India and Taiwan. An order was also given to increase the number of flights and improve service at airports, which should reduce waiting time for tourists.

 

The Thai Tourism Authority expects the number of tourists to rise to 35-40 million this year, including 8.2 million from China, approaching the 2019 record of nearly 40 million foreigners visiting the country.

 

Tourism does play a significant role in Thailand's economy and efforts to increase tourist numbers, especially in the wake of the pandemic, are key to the sector's recovery. Removing visa requirements and improving airport infrastructure could go a long way toward increasing visitor flows. If Thailand reaches the expected number of visitors, it will be a huge improvement over the pandemic period and could be a major boost to the country's further economic growth.