How does Buddhism relate to and help formulate a local understanding of transsexuals in Thailand? Thailand boasts the highest rate of transsexuals in the world. According to Sam Winter, the numbers range from around 10,000 to 300,000 (unofficial). Even if the 10,000 number was “accurate, it would still represent a substantially higher incidence than estimated for transgender people in most other parts of the world” (6). To explain the reason for this high number of transsexuals, I will refer to the impact of the localization of Buddhism in Thailand and how it leads to the understanding of transsexuals in the present day. I will conclude by outlining its effects on tourism in Thailand. As expressed by Sam Winter, the term "transsexual" is rarely used in Thailand. Instead, "Kathoey" is a common term. It was originally used to describe hermaphrodites (humans who have both sexes, male and female), but nowadays it is mainly used to describe the transgender male (6). I will go over this denomination for my essay. Looking up the word "kathoey" in a Thai language dictionary, we get the following definition: "Homosexuals or perverts (wiparit thang phet) are not Kathoey. The characteristic of a kathoey is that some cross-dress (lakka-phet), a male who likes to act and dress like a woman and has a mind like a woman" (8). As I have already said, the number of kathoey in Thailand is higher and the origin of this apparition may lie in religion. The main religion in Thailand is Buddhism, about 95% of the population are Buddhists (3) who follow the rules of this religion in everyday life. Thai Buddhism is called “Theravada Buddhism” and is a localized form of the original Buddhism that has its origins in Indian Hinduism (3). The development from the original form to "modern" Thai Buddhism occurred over many years, "the tension between the teachings of Theravada Buddhism and Thai animistic practice" (2). This tension was resolved by "appropriating those elements of the Doctrines of Buddhism compatible with animistic thought and fundamental human experience."(2). The result of this development of religion is that "the institutional and ritual expressions of Thai religion appear very Buddhist indeed, but its characteristic mentality is not so much concerned with the moral message of Theravada as with wishful thinking, worldly continuity, and the manipulation of saksit power (supernatural "sacred")."(2).