Why Southeast Asia's second largest economy wants to halve visa-free stays to 30 days

Sorawong Thienthong, Thailand's Minister of Tourism and Sports, said earlier this week authorities have reached an agreement in principle to implement the reduction.

The Thai Travel Agents Association has voiced concerns about a rising number of foreigners abusing the 60-day visa-free scheme to work illegally or run unauthorized businesses while posing as tourists to the Southeast Asia's second largest economy, EuroNews reported.

Sittiwat Cheewarattanaporn, president of the association, said legal loopholes in the current visa policy are being exploited, creating disorder and economic instability.

Some visitors had overstayed their permitted duration and operate businesses especially in sectors like hospitality that compete directly with local Thai enterprises, Pattaya Mail reported.

He added that security enforcement has failed to keep pace with the tourism boom and does not adequately address issues arising from the current scheme.

The Thai Hotels Association also pointed to the long visa-free period as a factor behind the rise in condominium units being illegally rented to foreign guests, Bangkok Post reported.

Thienprasith Chaipattaranan of the assocation warned that extended stays provide more opportunities for non-tourism-related business activities, especially by those who overstay their visas.

In 2024 alone, Thai authorities revoked licenses of 40 tour companies found guilty of illegally changing their directors or shareholder structures.

In Phuket, 15 companies lost their licenses for similar violations. One Thai individual was discovered to be registered under five different company names.

In addition, many foreigners have been caught working illegally as tour guides in Phuket, and face potential deportation or permanent entry bans, Phuket News reported.

Last year, 194 foreigners in Phuket had their visas rescinded, and 998 were deported, mostly for drug offenses or working without proper permits, said Pol Col Kriangkrai Ariyaying, chief of Phuket's immigration police.

Since July last year, visitors from 93 countries including major economies such as the U.S., the U.K. and Australia were allowed to enter Thailand visa-free with maximum stays of up to 60 days.

Tourism remains a cornerstone of Thailand. The government aims to attract over 40 million foreign tourists this year, surpassing the record set in 2019.

Between January and March 16, the country welcomed 8.3 million international visitors, up 3.9% year-on-year.