The Wang Xing kidnapping incident caused a huge uproar, and it was only then that Thailand began to crack down on telecom fraud on a large scale, cutting off water, electricity, and internet, and even threatening to investigate the protective umbrellas behind the scenes. It seems like a wake-up call for justice, but in reality, why is Thailand in such a hurry to "clean house"?
The answer is simple: for more profitable business.
Myawaddy has become a hot potato for Thailand
Honestly, before the Wang Xing incident, many Chinese people might not even know about "Myawaddy."
Located in southeastern Myanmar, Myawaddy is separated from Thailand's Mae Sot by a river. This border area often serves as a breeding ground for various gray industries—since it is not fully under the control of either Thailand or Myanmar, it has become a "whoever has the guns makes the rules" territory. The local big shots here are the Karen Border Guard Forces (BGF), who are the real controllers.
Whether these "local big shots" are the main culprits of environmental destruction, or the environment itself breeds them, is like the "chicken or the egg" dilemma. But the reality is, there is hardly any rule of law in such places, and the government is reluctant to intervene because even if one is eliminated, another will quickly emerge.
However, the Wang Xing incident has thoroughly exposed Myawaddy under the spotlight, and Thailand could no longer save face. To calm public opinion, the Thai government immediately took action against the telecom fraud parks in Myawaddy, even considering issuing an arrest warrant for the leader of the Karen Border Guard, Suchit. It proves that as long as the government is determined, these "protective umbrellas" are not truly invincible. After all, the four major families in Northern Myanmar were also eradicated, weren't they?
But the question arises, why did the Thai government previously turn a blind eye and now suddenly take action? The answer is not a "sudden conscience," but rather that the impact of telecom fraud had threatened Thailand's "economic lifeline"—the tourism industry.
Telecom fraud affected Thailand's money tree
Thailand is a country that relies on tourism for its livelihood, but after the pandemic, the speed of tourist return was far below expectations. In 2024, Thailand's tourism revenue is about 1.8 trillion Thai Baht (approximately 385.2 billion RMB), which seems a lot, but it's only about 60% of the 2019 level.
The key issue is the decrease in Chinese tourists. In 2024, Thailand welcomed 6.7 million Chinese tourists, while in 2019 this number was 11 million, a direct reduction of one-third.
Why are Chinese tourists reluctant to come? A large part of the reason is Thailand's damaged safety image, especially frequent news of telecom fraud, kidnapping, and human trafficking—who would dare to come? When Thai Prime Minister Prayut Chan-o-cha visited China in February this year, he placed tourism at the core of the negotiation table. After all, the tourism industry is too big a piece of the pie for the government to just watch it be destroyed by the black and gray industries.
But what the Thai government wants is not just to restore the tourism industry, but also to seize the opportunity to engage in bigger business—gambling.
Thailand's ultimate goal: legalized gambling industry
Thailand's calculations are very shrewd, not only wanting to remove the "bad apples" but also wanting to sprinkle some seasoning on the cake—gambling industry.
According to statistics from agencies, if Thailand opens casinos, the average spending per tourist will increase by 52%, meaning that an ordinary tourist visiting Thailand might spend an additional 65,000 Thai Baht (approximately 13,941 RMB). Just this alone could increase Thailand's tourism revenue by 448 billion Thai Baht, directly boosting the GDP by 1.16 percentage points.
If Thailand's gambling market is fully opened, the annual revenue could even reach 9.1 billion USD, ranking among the top three in the global gambling industry, only behind Macau and Las Vegas.
The Thai cabinet has already in principle passed the "Entertainment Complex Act," and the legislation could be completed as early as 2025. By then, Thailand will officially welcome legal casinos. Singapore, Malaysia, the Philippines, and Vietnam have already tasted the sweet fruits of the gambling industry, and Thailand certainly wants a share of the pie.
But here comes the problem, Thailand is a Buddhist country, and the conservative faction domestically generally opposes gambling. So why does the Thai government still dare to push forward? The answer is very realistic—because no one can truly ban gambling.
Gambling is a part of human nature, traditional cockfighting, Pai Gow, lottery, scratch cards, essentially are all pursuits of the unknown and excitement. Rather than letting underground casinos proliferate, it's better to legalize it, and the government can also set boundaries through regulations, keeping the revenue in its own hands.
Of course, the Thai government also knows the risks of gambling, so the new law sets many restrictions, such as:
Prohibiting entry for those under 20 to prevent youth gambling addiction;
Thai locals who want to enter a casino must pay an additional entry fee of 5,000 Thai Baht (approximately 1,074 RMB), but foreign tourists can enter for free with a passport, thus reducing the possibility of gambling addiction among local citizens.
Gambling is just a "catalyst" for the tourism industry
This legalization of gambling has already attracted the attention of global gambling giants. Currently, including Las Vegas Sands Corp., Wynn Resorts, Caesars Entertainment, MGM China, Hard Rock, and Melco Resorts & Entertainment, six major international gambling companies are vying for the Thai market.
Who is the boss of Melco Resorts & Entertainment? It's Lawrence Ho, the son of the gambling king Stanley Ho, which shows that everyone is very optimistic about Thailand's gambling prospects.
The government's role is also very simple—just responsible for issuing licenses and collecting money. Currently, Thailand's casino license requirements are:
A registered capital of at least 10 billion Thai Baht (approximately 2.1 billion RMB);
An initial license period of 30 years, with an evaluation every 5 years, and a possible extension of 10 years;
Casino developers first pay a registration fee of 5 billion Thai Baht, and also pay an annual fee of 1 billion Thai Baht every year.
Compared to Macau, Thailand's threshold is quite friendly:
Macau's casino registration capital is 4.5 billion RMB, Thailand only needs 2.1 billion;
Macau's gambling license is valid for 10 years, Thailand's initial license period is 30 years;
Macau's gambling tax is as high as 35%, Thailand only charges 17%.
The conditions offered by Thailand are obviously more attractive, after all, it relies not on high taxes, but on a huge base of tourists.
Summary: Tourism is Thailand's economic lifeline
Tourism accounts for 20% of Thailand's GDP, far higher than the global average of 10%. In 2019, Thailand welcomed 39.92 million tourists, ranking first in Asia and fifth globally.
But in recent years, the tourism industry has been hit by both the pandemic and security issues, and the government must find new growth points. Therefore, cracking down on telecom fraud is "cleaning house," while promoting the legalization of gambling is Thailand's real goal.
Thailand's strategy is clear:
Eliminate the black and gray industries affecting the tourism industry, allowing tourists to return with peace of mind;
Introduce the gambling industry, increase per capita consumption, making tourists not want to leave;
Create a safer and more exciting tourism environment, allowing Thailand to continue to dominate the position of Southeast Asia's tourism hegemon.
In the end, whoever blocks the way for Thailand's tourism industry to make money will be ruthlessly swept out by the Thai government.
