The upcoming general election could dampen investor confidence if the victorious parties fail to form a new government, according to the Federation of Thai Capital Market Organizations (Fetco).
Fetco chairman Kobsak Pootrakool said on Tuesday if a conflict arises after the May 14 poll and a government is not formed based on a majority of seats, investor stability could be undermined.
On the other hand, if a new government is set up successfully, investor confidence should increase, said Mr Kobsak.
“I think we still have to keep an eye on what’s going to happen next. At the very core, stock market sentiment is looking for government stability,” he said.
Fetco’s investor confidence index for April, which forecasts the next three months, was neutral at 110, up 15.1% from the…
