Thailand issues licenses to 275 hotels on largest island following 6-year delay

Deputy government spokesperson Ploytalay Laksameesaengjan announced Wednesday that 275 of 392 pending hotel license applications had been approved over the past two months, The Nation reported.

The accelerated processing followed direct orders from Prime Minister and Interior Minister Anutin Charnvirakul to formalize the island’s tourism infrastructure. Before the recent government campaign, provincial authorities processed an average of only 30 to 40 hotel license applications a year.

The two-month intensive effort has cleared more than 75% of the backlog, which had been stalled since 2018.

This aerial photo taken on September 30, 2020 shows an empty swimming pool at a hotel on Karon beach in Phuket. Photo by AFP

Deputy Interior Minister Worasit Liengprasit said earlier that about 100 applications remained under review, down from more than 400 previously awaiting action, according to The Phuket News. The province expects to complete the outstanding applications by September, he said.

Ploytalay said: “For operators attempting to secure hotel licenses but facing legal and regulatory hurdles, authorities are collecting data to propose fair legislative amendments,”

“The government prioritizes safety above all else and aims to bring operators into the formal system while eliminating extortion and bribery.”

The licensing drive is running alongside a major law enforcement campaign targeting foreign-controlled businesses operating through Thai nominee shareholders.

The Interior Ministry launched widespread inspections following public complaints about illegal operations, missing construction permits and foreign investors using local frontmen to circumvent Thailand’s foreign ownership laws.

The investigation expanded significantly in July after official inspections identified two hotels operating without valid hotel licenses or required building permits.

The probe into foreign nominee structures initially targeted 300 entities before expanding to scrutinize 391 companies across the province.

Inspection efforts expanded further following a high-profile incident at Chabad House in Patong, where an unidentified individual reportedly questioned the authority of Thai officials during a routine inspection.

Following the confrontation, the Interior Ministry expanded its inspection mandate to more than 361 businesses deemed high-risk across Phuket.

Government spokespersons reaffirmed that several cases had been handed over to the Royal Thai Police for formal prosecution, with investigators gathering additional evidence to expand the crackdown.

Interior Minister Anutin pledged that offenders would face the fullest penalties under the law, maintaining that strict enforcement is essential to safeguard fair commercial opportunities for domestic business owners and preserve Thailand’s economic sovereignty.

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