BANGKOK – Thailand has become a sought-after destination for Russian real estate investors. According to data from international real estate brokerage firm Tranio, provided to leading Russian business media RBK, 17.3 percent of Russian inquiries to the Asian country increased in the first quarter. But why is Thailand suddenly so attractive for Russian buyers?
1. Escape from geopolitical uncertainty
With the start of the Russian war of aggression in Ukraine, more and more wealthy tourists with Russian citizenship are flocking to the Thai island of Phuket. This year alone, 791,574 Russian citizens are said to have traveled to Thailand between January and June, more than half of whom flew directly to Phuket Airport. The reasons for this influx are diverse:
Limited travel options: Many direct flights to European cities no longer exist, and entry visas in Western countries are often more difficult to obtain. Thailand offers a welcome alternative.
1. Security and stability: Given the geopolitical uncertainty in other regions, Russian investors are looking for safe havens for their capital. Thailand, with its political stability and friendly attitude towards foreigners, meets these requirements.
2. Attractive real estate markets: The Thai island of Phuket has long attracted wealthy Russians, but Putin’s war of aggression in Ukraine has made the influx even greater. It is less the steam baths, concerts or villas that attract Russian tourists, but rather the difficult access to competing travel destinations. Demand has therefore increased more than fivefold compared to the same period last year.
3. Luxury real estate: Russian billionaires, including Alexander Svetakov and Igor Rybakov, are investing in exclusive properties on Phuket. The island offers stunning villas, sea-view apartments, and world-class amenities.
4. Adaptation to Russian needs: The Thais have been adapting to the habits of Russian tourists for a long time. Airport announcements and business names in Phuket are now also available in Russian. In addition to traditional Thai food, street vendors also offer borscht, a beetroot soup popular in Russia.
Thailand has become a hotspot for Russian property buyers, and the trend shows no signs of slowing down. The paradisiacal beaches, warm hospitality, and attractive investment opportunities make Thailand a favorite for wealthy Russians. (zai)