Tuesday’s news-June 25 -

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Re: New tax on foreigner income

“It is upsetting the Thai tax authorities want to double tax expatriate retirees, etc. As most of us live on a fixed income, it is already difficult to pay for food, rent, utilities, etc.

“Many of us pay heavily to support a Thai family and outside relatives with consistent monetary support. Now we are to be burdened with additional taxation? In many countries where we originated from, we are already taxed heavily and every dollar counts.

“This new idea of double taxing expatriates will have unintended consequences for Thai revenue aspirations. Many retired people will not be able to pay more tax than they already are already paying in their home countries. Or, even if they are able, they will deeply resent being double taxed. This idea of double taxation will have unintended consequences for the Thai economy.

“Many of us who have bought homes and condos will sadly be leaving Thailand. Some of us who support entire Thai families will reluctantly be doing the same. Those who are renting homes or apartments can leave more easily. The Thai economy will be impacted by the exodus of retired expats. This is an ill conceived idea but I am sure this Thai double tax will continue to be enacted by the Thai tax enforcers.

“Many foreigners who have lived in Thailand for years or even decades will soon leave Thailand, and not look back. It feels like the Thai government, by double taxing us, does not want foreigner retirees to live in Thailand. If that is their goal then they will surely succeed.” – Left Already

(Editor note: Scores of countries already have tax agreements with Thailand that will protect expats living in Thailand from the planned tax. The author apparently hails from a country that does not have such a tax treaty with Thailand. Expats from those countries will definitely feel the effects.)

Lots of rain forecast for Hua Hin

The Thailand Meteorological Department has issued a weather warning, forecasting heavy rain for Hua Hin over the next week.

Thunderstorms are expected in 60% of the area, with heavy rainfall in some places such as Phetchaburi, Prachuap Khiri Khan, Chumphon, Surat Thani, Nakhon Si Thammarat, and Phatthalung. Temperatures will range from 23-27°C at the minimum and 31-34°C at the maximum.

Hua Hin International Contemporary Art festival June 25-July 13

The Hua Hin International Contemporary Art 2024 festival kicks off today, bringing artists from around the world to Hua Hin.

Nern Chalet Hotel Hua Hin, in collaboration with Dee Changmo, invites art lovers and enthusiasts to indulge in the pleasure of art and participate in various art workshops with 12 international artists from eight countries. Continued …

Older banknotes pushed for occasions

The Bank of Thailand has requested consumers use banknotes that are already in circulation to mark special occasions, rather than demanding newly printed ones, to allow for the longer time frame that banknotes are now in circulation.

The present banknote circulation cycle – known as a first-in, first-out cycle – means banknotes are in circulation for around 10% longer than in the past. The extended turnover is primarily attributed to the increase in digital payments and the improved quality of banknotes. Continued …

Wildlife rescuer removes snake that sought warmth in sleeping man’s boxers

A nightmare is more often than not just that — a nightmare. But sometimes it comes true, like when a sleeping man in Rayong, woke up to find a venomous snake nestled in his boxer shorts.

This led to a hasty snake-retrieval operation, which was uploaded onto a snake rescuer social site. The caption read: “A little cobra with big venom. It seeks warmth in human’s boxer shorts. Don’t catch the wrong snake!” Continued and video …

Email link – kenbrown@businessclassasia.com

Traders bullish on outlook for gold prices

Traders expect gold prices to remain high over the next 3-5 years because of ongoing global economic uncertainty and geopolitical conflicts.

They recommend investors allocate 5%-15% of their portfolio to gold to diversify investment risk and hold the precious metal as a safe-haven asset. Continued …

Uncovered: Trafficking of Thai Teenagers for Elderly Care in China

A new problem of trafficking Thai teenage girls for elderly care in China has been discussed in a meeting between Thai and Chinese authorities in Kunming, China.

According to a media report, the Central Investigation Bureau sent Anti-Trafficking in Persons Division police to coordinate with Chinese police in Yunnan Province to address human trafficking and call center gang issues. Continued …

2 drunk Russian women attack Thai woman after Phuket car crash

Continued …

From challenges to opportunity: Transforming Thailand’s capital market

In recent years, Thailand’s economy has navigated challenges from diverse sources, both domestic and international. Domestically, political instability has caused delays in budget disbursement, while external factors such as global conflicts affecting oil prices and the purchasing power of our trade partners have also exerted significant influence.

Additionally, the pandemic has severely impacted tourism and service sectors, key drivers of the Thai economy, resulting in a -6.1% GDP contraction in 2020, with ongoing recovery efforts. Continued …

Thai economy buffeted by many negative factors, say economists

A decline in purchasing power, ineffective government expenditure, geopolitical risks and household debts could affect the Thai economy during the rest of the year, several economists warned on Monday.

Amonthep Chawla, the chief economist at CIMB Thai Bank, said the economy was being pressured by a drop in the purchasing power of the lower- to middle-income sector, as well as a slowdown in the recovery of the retail sector. Continued …

Outdated laws said hindering growth

Thailand’s economy has become sluggish and can’t be salvaged by simply injecting money through programs such as the government’s 500-billion-baht digital money handout scheme, which will likely help stimulate the economy in only one or two quarters, according to former prime minister Abhisit Vejjajiva.

Abhisit also pointed to the need to speed up amending laws seen as obstacles to the development of both modern businesses using clean energy and that of the green economy, which he sees as an ideal cure for the country’s economic stagnation. Continued …

Thai Hotels Object to 75% Foreign Condo Ownership Proposal

The Thai Hotels Assn. (THA) has openly criticized the government’s plan to permit foreign ownership of up to 75% in condominium units. The association fears the proposal could spark fierce price competition and disrupt the hospitality market. The concerns were voiced during a recent meeting focusing on key industry issues.

At the meeting, Tourism and Sports Minister Sermsak Pongpanich outlined Thailand’s tourism direction and government policies aimed at supporting the sector. He invited association members to openly discuss their challenges and provide feedback. Continued …

PM Srettha races to transform Rayong and Chon Buri

Prime Minister Srettha Thavisin led a delegation to Rayong and Chon Buri on Sunday to inspect pivotal projects within the Eastern Economic Corridor (EEC).

At Rayong’s U-Tapao International Airport, Srettha scrutinized the progress of an ambitious project aimed at linking the airport with a high-speed rail network that will connect three major airports. Continued …

Thai Handicrafts to Drive Economic Growth, Says Deputy PM

Deputy Prime Minister Phumtham Wechayachai has prioritized enhancing Thai handicrafts to boost the national economy. This initiative is spearheaded by the Institute for the Promotion of Thai Arts and Crafts (SACIT).

In a directive issued at Bang Sai, Phra Nakhon Si Ayutthaya, Phumtham underscored SACIT’s mission to preserve and develop Thai handicrafts. He stressed the importance of Thai crafts as a form of soft power, crucial for economic growth and generating national revenue. Continued …

Lopburi’s Monkey Control Efforts Revive Business Confidence

Efforts to get the monkey population under control are making progress and businesses in Lopburi Province are regaining confidence because they believe the problem is being tackled properly. Many companies are planning to revive instead of going out of business.

Damrongchai Market, for example, is rejuvenating its stalls to offer vendors over 60 blocks again, and the former shopping district known as “Heavy Alley” is being revitalized. In addition, the large department store “Apinya” has abandoned its plans to sell its property and is preparing to renovate the building, while launching promotions to attract customers. Continued …

Three Thai airlines devising fundraising plans to exit rehabilitation

Nok Air, Thai AirAsia X and Thai Airways International (THAI) have come up with fundraising plans to exit rehabilitation now that business performance has greatly improved thanks to the tourism recovery following the Covid-19 pandemic.

Wutthiphum Jurangkool, Nok Air CEO, said on Monday that he has every confidence that the airline will exit the rehabilitation plan within two years, or in 2026. Continued …

True’s growth in 5G revenue hits 15% per year

True Corp. has focused on expanding its 5G usage among tourists, with 60% of inbound visitors applying for its telecom service, and the company recording 5G revenue growth of 15% per year.

The company plans to expand its 5G coverage from 90% of the country’s population at present to 98% within two years, said Chief Executive Manat Manavutiveth. Continued …

Plant-based market set to grow

Thailand’s plant-based food market is expected to grow around 10%, with the value estimated to reach 45 billion baht this year.

Following a recent workshop entitled “The Future of Essential Agricultural Products of Thailand: A Case Study of Plant-Based Food”, which was jointly organized by the Trade Policy and Strategy Office (TPSO) and Fiscal Policy Research Institute Foundation, Poonpong Naiyanapakorn, director-general of the TPSO, said plant-based food products are likely to grow rapidly in both the domestic and international markets. Continued …

Flying Goose Aims for Top Sriracha Sauce Brand

Exotic Food Public Co. celebrated its 25th anniversary with a declaration to position its Sriracha chilli sauce as the world’s number one Thai sauce. For over 24 years, the company has exported Sriracha sauce under the Flying Goose brand and has consistently achieved all-time high profits.

The company specializes in manufacturing and distributing seasoning sauces, dipping sauces, curry pastes, and Thai culinary ingredients, as well as ready-to-eat and semi-ready-to-eat products like green curry, tom yum, and pad Thai. Continued …

Increased Tourism from China Should Not Come at the Cost of National Sovereignty

In a bid to rejuvenate its tourism sector following the economic slump induced by Covid-19, Thailand has granted citizens of the People’s Republic of China (PRC) a temporary visa waiver, effective since September 2023. This initiative aims to boost the inflow of Chinese tourists, who constitute a significant portion of Thailand’s tourism market.

Additionally, Thailand signed an agreement with China for mutual visa exemption, which came into effect in March 2024. While these measures promise substantial economic benefits, they also raise serious concerns about the potential erosion of Thailand’s national sovereignty and security. Continued …

Hotels worry as another German firm goes bust

Another tour firm in Germany has filed for bankruptcy, but the impact should be less than the recent FTI insolvency, according to the Thai Hotels Assn. (THA).

The THA recently acknowledged an alert from the Tourism Authority of Thailand (TAT) that Itravel, a luxury tour company based in Cologne, officially filed for bankruptcy this month. Continued …

Qatar Airways 2024’s best airline, Bangkok Airways best regionally

Qatar Airways has been named the best airline in the world for 2024, overtaking last year’s champion, Singapore Airlines. Meanwhile, Bangkok Airways secured the title of the world’s best regional airline for the eighth consecutive year, according to Skytrax’s World Airline Awards.

Qatar Airways achieved the top spot in the annual rankings, while Singapore Airlines fell to second place. Emirates landed in the third position, followed by ANA All Nippon Airways in fourth, and Cathay Pacific in fifth. Continued …

Top tourist destination Barcelona plans to shut all holiday apartments by 2028

Barcelona, a top Spanish holiday destination, announced on Friday that it will bar apartment rentals to tourists by 2028. This unexpectedly drastic move is part of a larger effort to rein in soaring housing costs and make the city livable for residents.

The city’s leftist mayor, Jaume Collboni, said that by November 2028, Barcelona would scrap the licenses of the 10,101 apartments currently approved as short-term rentals. Continued …

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