Thai stocks suffer amid political turmoil

Uncertainties surrounding next year's election and the administration that will subsequently take office have prompted foreign investors to continue to underweight Thai stocks, though they have looked at investing in sectors that have benefited from stimulus measures such as the “Khon La Khrueng” and tourism co-payment schemes.

- NAREERAT WIRIYAPONG

Registration for the latest “Khon La Khrueng” co-payment stimulus scheme got underway yesterday. The spending window is set to commence on Oct 20.

Prime Minister Anutin Charnvirakul has said that the House of Representatives will be dissolved by January next year, one of the conditions set by the People’s Party, which has the most parliamentary seats, in exchange for supporting Mr Anutin as the new premier.

“We believe the [Thai] general elections will likely be held on March 29, 2026, and the new government should be in office in late-May 2026. However, it is not yet certain who will come into power after the elections,” said Kasem Prunratanamala, head of research at CGS International Securities.