BANGKOK (REUTERS) - Thailand's Cabinet approved on Tuesday (March 27) a high-speed railway project, expected to cost 200 billion baht (S$8.39 billion), that will link three airports, a government official said.

The approval comes at a time when surging tourist arrivals have put some strain on Thai infrastructure.

The rail link will connect the two airports in the Bangkok area - Suvarnabhumi International and Don Mueang International - with U-Tapao, built during the Vietnam War in the eastern province of Rayong.

Tourist receipts account for about 12 per cent of gross domestic product in South-east Asia's second-largest economy.

The government expects 37.55 million foreign visitors this year after a record 35.38 million last year.