Private sector worried about impact of delayed government formation

The private sector in Thailand has expressed concern that any delay in the formation of a new government may have an adverse impact on the economy. Sanan Angubolkul, chairman of the Thai Chamber of Commerce, said that Thai and foreign investors are keeping a close watch on political parties’ bids to form a new government.

“The private sector would like a new government to be formed quickly. Any delays could slow down the economy,” Mr. Sanan said. “It is estimated that the new government may not be able to take shape in August, and the bid to form a government may drag on until September,” he added.

Mr. Sanan went on to say that Chinese investors have made up the largest number of foreign companies seeking promotional privileges from the Board of Investment. Chinese investors are also monitoring the formation of a new government and are waiting to see how it will implement its policies and whether they affect foreign investment.

“The new government should be formed as quickly as possible for the country’s best interests,” he said. Meanwhile, Move Forward Party leader and prime ministerial candidate Pita Limjaroenrat on Tuesday led the party’s economic team to meet for talks with Sangchai Theerakulwanich, president of the Federation of Thai SMEs.

As Thailand continues to navigate its way through this political vacuum, all eyes will be on the parties involved as they work towards forming a new government and addressing the concerns of the private sector.