Thailand’s tourism sector is abuzz with anticipation as over 34,000 operators have registered for a groundbreaking government initiative, “Tiew Thai Kon La Krueng” (Half-Half Thai Travel), aimed at revitalizing domestic travel. Set to open for public registration on July 1, 2025, the scheme offers substantial subsidies on accommodation and vouchers for local spending, promising a lifeline to an industry still recovering from global travel disruptions. With the government covering up to 3,000 Thai Baht (US$84) per night on hotel stays, the program seeks to boost regional economies and make holidays more affordable for Thai citizens.
A Boost for Businesses
The response from tourism operators has been overwhelmingly positive. As of June 30, 2025, 34,005 businesses—including hotels, restaurants, spas, tourist attractions, and transport providers—have applied to join the initiative through the official portal managed by the Tourism Authority of Thailand (TAT). Of these, 6,400 have already completed the verification process, while the remainder are undergoing stringent checks to prevent fraud and ensure only eligible entities participate. This rigorous vetting, conducted in partnership with Krungthai Bank, typically takes three days, after which approved operators will be listed on the project’s website and the Amazing Thailand app.
The scheme’s appeal lies in its potential to drive foot traffic and revenue for businesses across Thailand’s diverse regions. From bustling Bangkok to the serene beaches of Phuket and the cultural hubs of Chiang Mai, operators see this as a chance to recover losses sustained during periods of restricted travel. Sasikarn Wattanachan, Deputy Spokesperson for the Prime Minister’s Office, emphasized the government’s commitment to the program, stating, “The ‘Tiew Thai Kon La Krueng’ project is a crucial measure the government is keen to implement to stimulate tourism, generate income for operators across all regions, and help Thai people enjoy affordable holidays.”
How the Subsidy Works
Under the initiative, the government will subsidize accommodation costs for Thai travelers, with the subsidy rate varying by day of the week. On weekdays (Monday to Friday), it covers 50% of the cost, up to a maximum of 3,000 Thai Baht (US$84) per night. On weekends and public holidays, the subsidy drops to 40%, with the same cap. Additionally, each eligible traveler will receive a 500 Thai Baht (US$14) voucher per entitlement to spend at participating restaurants and shops, further incentivizing local spending.
A total of 500,000 entitlements are available, with each Thai citizen able to claim up to five subsidies. These are strategically split—three for stays in major cities and two for secondary cities—to encourage exploration beyond popular destinations. Travel under the scheme can commence as early as July 4, 2025, providing an immediate boost to the sector during the upcoming holiday season. The structure aims to balance demand across the week, preventing overcrowding on weekends while ensuring operators in less-visited areas also benefit.
Public Eligibility and Registration
Public registration for the “Tiew Thai Kon La Krueng” program opens at 8:00 AM on July 1, 2025. To qualify, applicants must be Thai nationals aged 18 or older, possess a 13-digit national ID card issued by the Ministry of Interior, and have verified their identity and biometric data through the “ThaID” application. Consent for system-based eligibility checks is also required, ensuring a secure and transparent process.
Sasikarn Wattanachan urged citizens to seize the opportunity, saying, “We invite all citizens to prepare to reserve their rights and go out to experience the charm of Thailand, add colour to their lives, and help drive the country’s economy together.” Her words underscore the dual purpose of the initiative: personal enrichment through travel and collective economic recovery.
Economic Implications
Categorized as an economic story due to its focus on stimulating domestic tourism and supporting local businesses, the “Tiew Thai Kon La Krueng” initiative arrives at a critical juncture for Thailand’s economy. Tourism, a cornerstone of the nation’s GDP, contributes significantly to employment and regional development. According to pre-pandemic data from the World Travel & Tourism Council, the sector accounted for over 20% of Thailand’s economy in 2019, a figure that plummeted during global travel restrictions. While international arrivals have begun to rebound, domestic tourism remains a vital buffer, sustaining operators in the interim.
The subsidy scheme, with its cap of 3,000 Thai Baht (US$84) per night, is designed to make travel accessible to a broader demographic, particularly middle- and lower-income families who might otherwise forgo vacations. By covering a substantial portion of accommodation costs and providing spending vouchers, the government aims to inject liquidity directly into local economies. This targeted stimulus could have a multiplier effect, as increased visitor numbers benefit not only hotels but also ancillary businesses like restaurants, transport services, and OTOP (One Tambon One Product) producers who craft local goods.
However, the program’s success hinges on effective implementation. The verification process for operators, while necessary to prevent abuse, could delay participation for some businesses, particularly smaller enterprises with limited administrative capacity. Additionally, the cap of 500,000 entitlements—while substantial—may prove insufficient if demand exceeds expectations, potentially leaving some travelers unable to benefit. If reports of high public interest are any indication, the government may need to consider expanding the scheme or allocating additional funds to meet demand.
Regional Disparities and Opportunities
One of the initiative’s strengths is its attempt to address regional disparities in tourism revenue. By allocating specific subsidies for secondary cities, the program encourages travelers to explore destinations beyond Bangkok, Phuket, or Chiang Mai. Areas like Isaan in the northeast or the southern provinces near Pattaya could see a surge in visitors, bringing much-needed income to communities often overlooked by mainstream tourism circuits. This aligns with broader government efforts to decentralize economic growth and reduce urban-rural inequality.
Yet, challenges remain. Infrastructure in secondary cities may struggle to accommodate a sudden influx of visitors, particularly in terms of transport and accommodation quality. Local governments and TAT will need to coordinate closely with operators to ensure a seamless experience for travelers, lest dissatisfaction undermines the scheme’s goodwill. Moreover, the disparity in subsidy rates—50% on weekdays versus 40% on weekends—could inadvertently skew travel patterns, potentially overwhelming operators during the week while leaving weekends underutilized.
Broader Context and Comparisons
Thailand’s “Tiew Thai Kon La Krueng” initiative is not unique in the region. Neighboring countries like Malaysia and Vietnam have also rolled out domestic tourism campaigns in recent years to offset the decline in international arrivals. Malaysia’s “Cuti-Cuti Malaysia” campaign, for instance, offered tax incentives and discounts to encourage local travel, while Vietnam’s government partnered with airlines and hotels to provide package deals under its “Vietnamese People Travel Vietnam” program. Thailand’s approach, however, stands out for its direct subsidy model, which reduces upfront costs for travelers rather than relying on indirect incentives.
This direct intervention reflects a broader trend among Southeast Asian governments to prioritize tourism as a driver of post-pandemic recovery. With global uncertainties—ranging from geopolitical tensions to fluctuating fuel prices—continuing to impact international travel, domestic markets offer a more stable source of revenue. For Thailand, where tourism employs millions, such initiatives are not merely economic tools but social imperatives, preserving livelihoods in a sector deeply intertwined with national identity.
Looking Ahead
As the “Tiew Thai Kon La Krueng” scheme rolls out, its impact will be closely watched by policymakers, operators, and travelers alike. Will it deliver the economic boost promised, or will logistical hurdles dampen enthusiasm? Can it strike a balance between supporting major hubs and uplifting secondary destinations? These questions loom large as Thailand embarks on this ambitious experiment in domestic tourism revival. For now, the eagerness of over 34,000 operators signals a collective hope that affordable travel could herald a new chapter for the industry.