Despite Protests in Bangkok Foreign Investment Remains Strong in Pattaya

The Thai Government is making an effort to reassure foreign investors that the current wave of political protests will not impact long-term stability in the country. On 3 June 2008, Foreign Minister Noppadon Pattama felt it necessary to reassure the British business community that protests in Bangkok were symptomatic of the democratic process and not indicative of political instability.

A recent report documents that Asian tourists are staying clear of Thailand due to the political protests. The governments of Malaysia and Indonesia have issued travel warnings dissuading their citizens from Thai holidays at the present time.

The popular mass protest seen recently in Bangkok doesn’t seem to have deterred Russian and Scandinavian tourists and investors from visiting Pattaya however. In 2007, nearly 900,000 Russians visited Pattaya, a more than 84% increase over the previous year, making Russian tourists the leading market for this resort destination. Russians and Scandinavians have displaced Germans and Brits as the main investors in Pattaya condominium units. Although Russians have been coming to Pattaya for holidays over the past 10 years, it's only been since 2006 that they have become property investors. Raimon Land reports that property purchases by Russians in 2007 accounted for 22% of condominiums sales in their upscale developments.