Bangkok: "Kobsak" expresses concern over the ongoing Thai-Cambodian border crisis, which poses potential threats to investor confidence and the tourism industry during the crucial high season. As the situation continues, Mr. Kobsak Pootrakool, President of the Federation of Thai Capital Market Organizations (FETCO), emphasizes the urgency of finding a resolution to prevent further escalation and mitigate regional instability.
According to Thai News Agency, Mr. Kobsak highlighted the national security implications of the border crisis, urging Thai authorities to manage the situation carefully. He offered support to Thai soldiers while stressing the importance of avoiding unnecessary escalation that could affect both nations. Prolonged unrest could lead to a perception of insecurity and instability in Thailand, potentially deterring foreign investors and tourists. Mr. Kobsak advocates for a swift resolution through diplomatic and military channels to prevent further losses for both countries.
The current situation risks reinforcing negative stereotypes, potentially influencing foreigners' decisions to invest or travel to Thailand due to perceived safety concerns. The tourism sector, which has seen growth in recent years, suffered a decline following an initial 20% increase in January 2025. A subsequent 15% drop in February 2025, coinciding with the Chinese New Year, contributed to a 4.66% decline in the first half of the year. Previous incidents, such as kidnappings and earthquakes, typically require several months for tourist numbers to recover.
Mr. Kobsak remarked that the border conflict could tarnish Thailand's tourism image, leaving lasting impressions on potential visitors and affecting the high season at the end of 2025. Furthermore, the crisis's spillover into Laos raises concerns about regional confidence and investment, prompting questions about the stability of tourism and direct investment in the area.