The suspension of Prime Minister Prayut Chan-o-cha’s powers by the Constitutional Court is seen denting investor confidence at a time the nation has been actively wooing overseas investors, though the direct economic impact is likely to be muted, according to analysts.
Political risks may delay investment decisions by companies that were planning to move production facilities to Thailand, according to Amonthep Chawla, head of research at CIMB Thai Bank. The uncertainty creates a disadvantage against nearby countries such as Vietnam, he said.
