Big blow for Thailand’s PM as major party exits coalition

The exit of Bhumjaithai Party leaves Thai PM Paetongtarn Shinawatra’s government hanging by a thread and facing declining popularity. PHOTO: AFP

UPDATED Jun 19, 2025, 12:24 AM

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BANGKOK - Thailand’s Bhumjaithai Party on June 18 withdrew from Prime Minister Paetongtarn Shinawatra’s government in a major blow to the embattled premier, leaving her ruling coalition with only a slim majority.

The party, the second largest in the alliance and holder of 69 House seats, said its departure was due to the impact on the nation of a leak on June 18 of a phone call between Ms Paetongtarn and Mr Hun Sen, the influential former premier of Cambodia, with which Thailand is involved in an escalating border dispute.

“Bhumjaithai will work with all Thai people to support the army and officials who safeguard the sovereignty, territorial integrity and interests of Thailand in all ways,” Bhumjaithai said in a statement.

A spokesperson for Ms Paetongtarn’s government did not answer calls seeking comment on the withdrawal.

The exit of Bhumjaithai leaves Ms Paetongtarn’s government hanging by a thread and facing declining popularity as it battles to revive a lacklustre economy.

The spectre of a fresh spell of political turmoil may unnerve foreign investors, who have dumped a net US$2.3 billion (S$2.95 billion) of Thai stocks in 2025.

The nation’s benchmark stock index has slumped 22 per cent in 2025 – among the worst performers globally – largely on concerns that the US threat of a 36 per cent tariff will worsen the outlook for growth and hurt company earnings.

Ms Paetongtarn, 38, the daughter of influential former premier Thaksin Shinawatra, was thrust abruptly into the spotlight less than a year ago when she became Thailand’s prime minister after her predecessor was removed from office by a court order.

Her position looks increasingly fragile and attention will now shift to whether her remaining 10 coalition members will follow Bhumjaithai.

The row with Cambodia over disputed border areas has prompted fears of a military confrontation after the mobilisation of troops on both sides, with Ms Paetongtarn facing public criticism over her diplomatic response in contrast to the military’s tougher rhetoric.

Ms Paetongtarn has insisted she is committed to a peaceful resolution but would do what is required to defend Thailand’s sovereignty.

In the leaked June 15 phone call, Ms Paetongtarn said she was facing domestic pressure and urged Mr Hun Sen not to listen to “the other side” in Thailand, which she said included an outspoken Thai general who oversees the army in the border area.

“Bhumjaithai has called on Prime Minister Paetongtarn to show responsibility for making the country lose its integrity, honour, to the people and the army,” the party said. REUTERS, BLOOMBERG

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