New C9 Hotelworks Phuket Economic Overview Report
Phuket’s economy heavily relies on tourism. In 2019, the accommodation and food services sectors made up nearly 50% to its total GPP. Due to the negative impact of the COVID-19 outbreak on tourism, the critical economic questions facing the island remain: is it too big to fail, and is it time to diversify industries?
With over 80,000 registered accommodation keys in Phuket, restoring overseas travel is a lever towards injecting cash flow into the tourism sector and stabilizing businesses.
Looking beyond tourism, other key demand generators such as international schools and hospitals, real estate and the marine industry are key contributors to the island’s economic profile and have the opportunity to tap broader demand.
Some of the key demand sector metrics in the report are –
- Foreign Phuket province work permits, not related to construction tally 9,835
- Over 4,000 international school students
- A primary and secondary real estate sector valued at over THB100 billion
Phuket’s economy for the remainder of year will rely primarily on the resilience of its tourism industry. In the longer term, the island’s immediate need of a comprehensive tourism master plan is a recurring challenge that must be addressed. A rise in public private partnerships over the next two to three years is expected, which possibly could be tapped to fund infrastructure development