Hat yai: Hat Yai is in ruins as the Chamber of Commerce reports that flood damages have totaled 25 billion baht, a figure four times worse than the damage incurred in 2010. Over 60,000 small and medium enterprises (SMEs) have collapsed, prompting calls for the government to provide debt relief and soft loans immediately.
According to Thai News Agency, the Songkhla Chamber of Commerce has released an overview of the impact of the 2025 floods in Hat Yai District, considered to be the most severe in decades. Mr. Songpol Jangsiriwattanathamrong, president of the Chamber of Commerce, estimated the initial damage at no less than 25 billion baht. This figure could rise to 100 billion baht if the government fails to implement adequate economic support measures.
The damage has affected all sectors, including trade, retail and wholesale, automotive, logistics, education, and tourism. Hat Yai District has lost significant economic opportunities, including the cancellation of the SEA Games. Furthermore, over 80% of vehicles in the city were submerged, and at least 200 tourist vehicles were damaged.
In a proposal to Prime Minister and Minister of Interior Anutin Charnvirakul, the private sector urges the government to expedite the implementation of several major measures. These measures include debt suspension with a principal suspension for at least one year, soft loans with 0% interest for the first six months and 1.5% for the entire five years, and 100% compensation for employees’ wages for three months to support employment. Additionally, they suggest increasing the Shop Dee Mee Kuen credit limit to 25,000 baht only in Hat Yai District and extending the Blue Flag measures while reducing land and building taxes for five consecutive years.
Mr. Korn Suriyaphan, President of the Thai SME Federation of Songkhla Province, stated that over 60,000 SME entrepreneurs have been affected, with the total expected to exceed 100,000. Many of these businesses were unregistered and already had little capital. With the floods, they are left with “almost nothing,” and are faced with both old and new debts, making it nearly impossible to start over without urgent relief measures.
However, the business sector believes that if the government implements targeted measures and injects funds within three months, Hat Yai’s economy will recover. The city has endured several major crises and bounced back each time, but this time, it “needs faster and stronger assistance.”