Why Is Thailand Funding 50% of Domestic Trips, and What’s at Stake?

Thailand’s highly-anticipated domestic tourism program, the "Travel Thailand Half-Half" scheme, has been pushed back to July 1.

A surge in demand caused the system to crash during the initial rollout this week, prompting the government to delay public registration until July 1.

The scheme, designed to boost domestic tourism during the off-season, is launching at a time when Thailand is scaling back its broader ambitions for international tourism in 2025. The government now expects to generate THB 2 trillion ($60 billion) from foreign tourists next year, down from an earlier target of THB 2.3 trillion ($69 billion).

The Half-Half campaign targets domestic travelers and offers 500,000 entitlements. Each eligible Thai citizen can register for up to five rooms or five nights per person, with at least two nights in secondary cities.

Only Thai nationals aged 18 and up can register starting July 1. ID verification is required through the Thai ID system. Travel benefits can be used from July 4 to October 31.

Once the accommodation has been booked, it cannot be canceled, but the check-in date can be postponed. “The postponement of the stay must be in accordance with the conditions set by the project,” the notice reads.

For weekday stays, the government will cover 50% of room costs, up to THB 3,000 ($92) per room per night. On weekends and holidays, the support drops to 40%, not exceeding THB 3,000. Every registrant also receives a THB 500 ($15) digital coupon per night, per room to spend at listed restaurants, attractions, or shops.

The Half-Half scheme is part of a wider THB 115 billion ($3.5 billion) stimulus plan approved by the Thai Cabinet, of which THB 10 billion ($307 million) has been set aside for tourism. The Tourism Authority of Thailand (TAT) receives THB 1.76 billion ($54 million) from this budget to run the Half-Half initiative.

TAT estimates the program will bring in 2.67 million domestic trips and generate over THB 35 billion ($1 billion) in spending. It’s also expected to support about 40,000 jobs between July and October.

To help the tourism sector get back on its feet following the Covid-19 pandemic, in 2020 Thailand launched the "Rao Tiew Duay Kan" (We Travel Together) scheme. Through this, the government offered Thai citizens discounts of up to 40% on hotels, domestic flights, and meals at participating businesses.

On June 24, people rushed to sign up for travel benefits through the TieowThaiKhonLaKhrueng.com website and the Amazing Thailand app. The volume was more than the system could handle.

It also led to a trending hashtag on social media, as many voiced frustration over the lack of clarity and planning. Confusion stemmed from a statement by Tourism and Sports Minister Sorawong Thienthong, who indicated that public registration would begin on the evening of June 24.

In response, the Deputy Government Spokesperson Anukool Pruksanusak clarified that only business registrations had opened and would continue till June 30. Public registration, he said, would start on July 1 at 8:00 AM.

Successful applicants will be able to utilize their travel benefits from July 4 to October 31.

TAT confirmed that a wide range of businesses are eligible to participate, including restaurants, souvenir shops, One Tambon One Product outlets, tourist attractions, spas, car and boat rentals, and accommodations.

Behind this local effort is a more cautious view of Thailand’s global tourism prospects.

Tourism and Sports Minister Sorawong Thienthong acknowledged that changing global dynamics are forcing the country to reassess its outlook.

Thailand's earlier tourism target of 39 million foreign arrivals has also now been adjusted downward to 35.5 million visitors.

While Thailand still hopes to reach THB 3.5 trillion ($105 billion) in total tourism revenue in 2025 which is a mix of domestic and international earnings, the government has now been told to focus squarely on ensuring that at least THB 2 trillion comes from foreign visitors.

“Anything beyond that would be a bonus,” Thienthong said.

The revised target comes amid regional security concerns, softening demand, and slower-than-expected returns from key markets, most notably China.

Chinese tourists once made up the largest share of visitors to Thailand. But their return has been slower and patchier than hoped.

From January 1 to June 8, Thailand recorded more than 15 million international arrivals, according to government data. Yet that total is nearly 3% below the same period last year.