Special report: Army coup in Thailand

    BANGKOK, Sept. 22 (Xinhua) -- Although a coup d'etat will affect some foreign investors' confidence, the Thai economy will continue to grow in the same direction with global economies and economies of its key trading partners, according to Kasikorn Research Center (KRC).

    The leading think tank was quoted by Thai News Agency on Friday as saying that the country's economy is expected to grow around 4-4.05 percent this year but is likely to drop to 3.5-4.5 percent next year due to a slowdown in exports to be affected by the global economic sluggishness.

    KRC admitted the military coup happened on Tuesday evening would affect come foreign investors' confidence, particularly in direct investment and investment in the Stock Exchange of Thailand.

    However, the center said it believed a new government to be formed soon would have an absolute power in the legislature regime and could push for an approval for the 2007 fiscal budget quickly.

    Also, the new government might come up with a new economic stimulus package to boost confidence in the local private sector. So, it is expected the private consumption in the second half of this year would continue to grow close to that of the first half. Enditem