In the wake of economic sanctions and financial blockades, Russia is now looking for new avenues for investment around the world. Wealthy Russians who used to purchase properties in Europe and Middle Eastern countries like Dubai have shifted their focus to new destinations for their money, following Russia’s invasion of Ukraine. One such destination has emerged as Thailand, with many Russian investors choosing to buy luxury apartments in locations like Phuket, Chonburi, and Bangkok.
According to Thailand’s real estate information center Reic, Russians were the largest group of foreign property investors in the country last year, followed by the Chinese. The value of properties purchased by Russians in Thailand increased significantly to six billion baht, or over 150 million euros, from 2.5 billion baht the previous year. The number of apartments sold to Russian citizens in the first quarter of last year saw a 68 percent increase compared to the same period in the previous year.
Thailand’s attractions for Russian investors include the availability of the Thailand Privilege Card, which allows for a five-year stay in the country for a price exceeding 30,000 euros. The number of Russian applicants for this card has doubled since the conflict in Ukraine. Russian visitors to Thailand, particularly Phuket, have increased substantially, with over a million Russians visiting the city last year alone.
The influx of Russian tourists and investors has had a noticeable impact on Thailand’s real estate market. Prices have risen significantly due to high demand from wealthy Russian buyers, making it challenging for ordinary Thai residents to find affordable rental accommodation. Despite this challenge, there is hope that increased presence of Russians will lead to positive changes in Thailand’s tourism industry as more people visit Phuket and other popular tourist destinations.
In conclusion, Russia’s growing presence in Thailand has brought about changes not only within its local market but also its economy as well. With global uncertainties looming ahead and economic sanctions imposed on Russia by other nations; it becomes increasingly attractive for wealthier individuals seeking new opportunities for their capital amidst these challenges.
Overall it seems that despite any difficulties faced by locals due to rising prices and competition from wealthy foreigners; Russia’s increasing investment into Thailand’s real estate market could prove beneficial if managed responsibly by both government officials and private entities involved in this process.
