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The lifting of the state of emergency late last week by Philippine President Gloria Macapagal Arroyo has brought to a close a brief period of heightened tension in the country. The state of emergency was earlier declared to quell an alleged coup plot.
In a televised address announcing the lifting of the state of emergency, Mrs Macapagal said: "The conspiracy has been broken up and it's time for government to go back to its regular business. I firmly believe that order has been restored."
But analysts said the emergency rule had been a reminder of the political risks clouding the country's economic outlook and Mrs Macapagal still faced a political crisis following last year's impeachment complaint accusing her of corruption and cheating in the May 2004 presidential polls.
"The lifting of the state of emergency does not entirely lift the cloud of uncertainty surrounding the country's political situation," said David Cohen, regional economist at Action Economics, an independent research company. In the past week before the emergency was lifted at least three civilian suspects had been detained, although two were later released. The alleged leader of the military plot is under house arrest while two marine officers were replaced. Charges of rebellion were also filed against 16 others, including five leftist lawmakers, who were forced to remain at the House of Representatives complex to avoid arrest.
Mrs Macapagal warned that security forces remained ready to crack down on people or groups who resorted to unlawful means to oust her from power.
"I will not tolerate this kind of adventurism," she said. "I will act with firmness and determination every time our enemies persist in fomenting turmoil and harming the economy." Two explosions occurred near a police station in Manila a few minutes before Mrs Macapagal's television address but her spokesman said the authorities did not consider the blasts serious. No one was injured.
Vidal Querol, the police chief in Manila, said agents assigned to monitor the small pro-opposition newspaper, Daily Tribune, would be withdrawn.
He said the absolute ban on street protests would also be lifted but anyone planning a rally still needed to apply for a permit.
Another FT Syndication Service report adds: Thaksin Shinawatra, the embattled Thai prime minister, told his supporters late last week he would go ahead with April 2 snap elections, but vowed to hold another election soon, after undertaking a political reform process.
In an effort to placate middle-class Bangkok residents and persuade opposition parties to end their boycott of the election, Mr Thaksin said that if returned to power he would appoint a "neutral" panel to draft amendments to the country's 1997 reformist constitution. The opposition said however that he had not gone far enough.
Once the reform process was complete, Mr Thaksin said, he would call for new national election -- a process he said would take between nine and 15 months from the April poll. He promised that members of the public, from hairdressers to tuk-tuk (motorcycle taxi) drivers, would help draft the reforms.
"The opposition claims that this constitution has made the government too strong," Mr Thaksin told tens of thousands of his supporters under the golden spires of Bangkok's Grand Palace. "But if you want a weak government, we can amend the constitution."
Mr Thaksin also offered to give up his prime ministerial post if his Thai Rak Thai (Thais love Thais) party received less than 50 per cent of votes in next month's polls, though such an outcome is highly improbable.
The rally was a show of strength for Mr Thaksin as he kicks off a campaign for the snap poll called to damp the public furore triggered by his family's Bt73bn ($1.9bn) tax-free sale of their stake in Shin Corp, the telecommunications empire he founded before entering politics.
Among those gathered were thousands of poor rural farmers bussed in from the countryside, and urban workers such as motorcycle taxi drivers and food vendors. They were a sharp contrast to the well-heeled Bangkok residents who have been demonstrating against the premier, and pressing their case for his resignation.
"I love him because he does what he says," said Woy Laedee, a Bangkok tuktuk driver who said he was grateful for a crackdown on local mafias. "In the past I had to pay the mafia Bt1,000 per month to drive the motorcycle on my street," he said. "Now I can save that money for my children."
Opposition parties have declared a boycott of the polls, saying Thailand's political crisis stems from Mr Thaksin's authoritarian tendencies, his evasion of independent scrutiny of his actions, and his attempt to subvert the system of checks and balances established by the 1997 constitution.
Analysts said the premier's unexpected pledge for political reform was a bid to "hijack" the opposition agenda and improve his party's image, but most were sceptical of his intentions.
Under syndication arrangement with FE
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