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Unlock the Editor’s Digest for freeRoula Khalaf, Editor of the FT, selects her favourite stories in this weekly newsletter.Thailand’s constitutional court has dismissed Prime Minister Srettha Thavisin from office over a cabinet appointment it said violated ethical standards, throwing the country into fresh political upheaval.Srettha’s removal on Wednesday came less than a year after he took over as premier of south-east Asia’s second-biggest economy and just a week after the same court dissolved Thailand’s main opposition party, Move Forwardfor advocating changes to the country’s lèse majesté law.The court ruling followed tensions between Srettha’s Pheu Thai party — which is controlled by former prime minister Thaksin Shinawatra — and the conservative establishment.Srettha’s cabinet will remain as a caretaker government until Thailand’s parliament elects a new prime minister, with a vote expected on Friday.The court found Srettha guilty of violating the constitution by appointing to his cabinet Pichit Chuenban, who briefly spent time in jail in 2008 following allegations he bribed a court official. Pichit, who is known to be close to the Shinawatra family, has since resigned from the government.Srettha said on Wednesday that he had served as prime minister with integrity and honesty but respected the court’s decision, which was agreed in a five-four vote by its judges.Srettha, a real estate tycoon, was installed as prime minister in August 2023 after the Pheu Thai party joined hands with military-backed former rivals in parliament to form a government.Thailand’s May 2023 general election was won by Move Forward, which had promised sweeping reforms but was blocked from power by the conservative establishment.On the same day Srettha was appointed prime minister, Thaksin, a billionaire telecommunications tycoon, returned from exile as part of what was seen as a deal with Thailand’s powerful military. An eight-year jail term for graft and abuse of power that was previously imposed on Thaksin was also reduced and he was granted parole earlier this year.However, there have been signs of tension between Pheu Thai and conservative-military elites. Thaksin was indicted in May for allegedly insulting the country’s monarchy.“Ultimately though, parliamentary arithmetic means Pheu Thai and conservative parties cannot currently form a majority government without the other. So this awkward, messy marriage of convenience will probably continue for now,” said Peter Mumford, south-east Asia head for Eurasia Group.Thailand’s political uncertainty could affect high-profile economic policies, including Srettha’s promise to distribute $14bn in handouts to low-income citizens via digital wallets. Rollout of the stimulus programme has already been delayed, and Mumford said Srettha’s dismissal made its prospects even more uncertain.
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