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Cafés and Bars Feel the Pinch – A storm brewing over Pattaya’s small business scene
Baht Too Strong, Tourists Too Few – The rising Thai currency is driving budget travelers to cheaper destinations. PATTAYA, Thailand – Pattaya’s once-buzzing tourist districts are sounding the alarm. From the morning clatter of English breakfast cafés to the neon glow of late-night beer bars, small businesses are reporting an unsettling drop in foot traffic—and with it, a dangerous slide toward financial instability. The culprit? A combination of relentless economic pressures. The Thai baht’s recent strength, trading around 32.80-32.90 to the dollar, is making daily expenses steeper for budget travelers, many of whom are now flocking to cheaper havens like Vietnam and Cambodia. Meanwhile, local costs—from rent and imported ingredients to utilities—continue to rise.  “We’re not just slow; we’re dying.” That’s the grim outlook from a bar operator just off Soi Buakhao, one of Pattaya’s busiest nightlife corridors. He’s already been forced to lay off half his staff due to plummeting customer numbers and rising operational costs. Once thriving with tourists enjoying cheap beer and late nights, the bar now sits mostly empty, even on weekends. Like many small operators in Pattaya—from budget hotels to street-side cafés—he’s battling a perfect storm: a strong Thai baht making travel more expensive, shrinking arrivals from China, and stiff competition from cheaper Southeast Asian destinations like Vietnam and Indonesia. “The last high season helped us survive,” he says. “But if things don’t pick up by October, we won’t make it to the next one.” This story is becoming more common across Pattaya. Bars are dimming lights earlier, breakfast cafés are closing a few days a week to cut costs, and owners are skipping salaries to pay rent. With foot traffic shrinking, many fear that what was once a temporary downturn may turn into a permanent exit from the business. Adding to the crisis, many bar workers—especially freelance hostesses and bar girls—are increasingly bypassing traditional bar venues altogether. With fewer tourists walking into bars and tips dwindling, some have moved their services to the beach, public spaces, or online platforms like Telegram and dating apps. “Why wait in a bar for hours when you can connect with customers directly?” one former hostess remarked to reporters. This shift not only reflects changing survival tactics but also further undercuts the already struggling bar scene, where owners must still shoulder rent, electricity, and staff costs without the same flow of customers or commissions. It’s not just hyperbole. As European winter ends and seasonal tourists return home, many establishments are seeing their revenue dip below survival levels. Fewer backpackers are walking down Pattaya’s sois. Even long-time regulars are cutting back on visits or daily spending. Business owners whisper of closures, debts, and desperate attempts to stay afloat. Without immediate relief—be it tax breaks, tourism boosts, or policy changes—Pattaya may be on the brink of a small business collapse. The cafés and bars that give the city its soul are holding on, but the question now is: for how much longer?
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