Afghanistan braces for violent polling day

Afghanistan braced for a day of violence today as voters headed to the polls for a parliamentary election that is a crucial test of government credibility and the strength of its security forces.

The Taliban has vowed to disrupt the poll and urged potential voters to stay at home — even as the government called on Afghans to come out to polling stations for what is their second chance to choose their own parliament.

A donkey collapses after being overloaded with election materials to be transported to a village unreachable by vehicles, in Panjshir province, north of Kabul yesterday, September 17, 2010.

Myanmar opposition in disarray as polls approach

Boycotts, draconian election laws and resignations of opposition figures have put Myanmar’s ruling generals within easy grasp to sweep the first polls in two decades, just two weeks after setting an election date.

Myanmar’s politically marginalised opposition appears in total disarray in the run up to the much-criticised November 7 polls, experts say, playing into the hands of a military regime with no intention to give up its 48-year grip on power.

“Than Shwe’s (above) only political strategy is divide and rule and a weakened opposition is just what he needs

Thaksin quits as Cambodia’s economic adviser

Fugitive former Thailand Prime Minister Thaksin Shinawatra has resigned as Phnom Penh’s economic adviser, a move that would certainly pave the way for the return of normal ties between Thailand and Cambodia.

Acting government spokesman Dr Panitan Wattanayagorn confirmed today the resignation of Thaksin, and the Thai government had been informed of the latest development.

In an immediate response, Bangkok will reinstate its ambassador to Phnom Penh Prasas Prasasvinitchai tomorrow, according to Foreign Minister Kasit Piromya. Cambodia too was expected to send back its ambassador to Bangkok soon, said Kasit.

News report from Phnom Penh cited “personal difficulties in fulfilling his role completely” as the reason for Thaksin’s resignation.

Judge allows California gay marriage to resume next week

People waves flags outside City Hall after a judge lifted the Proposition 8 stay on same sex marriages in San Francisco, California August 12, 2010

A federal judge ruled yesterday that gay marriages could resume next week in California while his landmark ruling last week that overturned a ban on same-sex matrimony is appealed.

The order to allow gay marriage will take effect at 5pm PDT on Wednesday.

That will give an appeals court time to consider “in an orderly manner” whether the voter-approved ban, known as Proposition 8, should be left intact while appellate judges weigh the merits of the overall case, US District Court Chief Judge Vaughn Walker ruled.

Reclusive Myanmar to hold elections on Nov 7

Myanmar will hold its first parliamentary elections in two decades on Nov. 7, state media said on Friday, ending speculation over the timing of a poll criticised by rights groups as a sham to entrench military power.

As of this week, at least 40 parties had registered to take part in the first civilian government in almost half a century in the reclusive, army-ruled country of 48 million people.

The United States, Britain and human rights groups have said the elections would be illegitimate if the military junta denies a role to thousands of political opponents now in prison, including detained Nobel Peace Prize-winner Aung San Suu Kyi.

Thai protest leaders surrender after deadly army assault on Bangkok camp... but violence rages on

Darkness descends: Thick black smoke from the protesters' encampment descends through the air behind Chulalongkorn hospital. Despite protest leaders surrendering, the violence continued

Blanketed: Smoke billows from a commercial area of Bangkok where Red Shirt demonstrators had their camp

'D-Day': A soldier fires his rifle at Lumpini Park as part of this morning's operation

*Seven top leaders of the Red Shirts surrender to police
*Government imposes ten-hour curfew
*But enraged protesters refuse to give up and target a ritzy shopping mall
*Red Shirts set fire to the Stock Exchange building and TV station headquarters

Bangkok has become a raging battleground as the army stormed a fortified protest camp and toppled the Red Shirt leadership, enraging demonstrators who fired grenades and set fires that cloaked the skyline in a black haze.

Seven leaders of anti-government protest group the Red Shirts surrendered to authorities today, and the army declared itself in full control, but the violence continued.

Surreal scenes of warfare erupted soon after dawn in one of the ritziest parts of the capital - a city of ten million people - as troops armed with M-16s converged on the central business district.

The chaotic end to the Red Shirt campaign is certain to deal a heavy blow to the economy and tourism industry of Thailand.

A ten-hour curfew came into force in Bangkok and 18 other provinces at 8pm local time. The government said army operations would continue through the night in the Thai capital.

It is the first time that Bangkok has been put under curfew since 1992, when the army killed dozens of pro-democracy demonstrators seeking the ouster of a military-backed government.

Police open fire in Kathmandu protest against Maoist guerrillas

Flashpoint: Police fired warning shots at a crowd of 20,000 who were protesting an enforced six-day general strike

Weight of support: The 20,000 protesters were backed by the U.S. which has called for the strike to be aborted

Clashes: Friends carry an injured man away for treatment after he suffered a head wound during scuffles over the strike, enforced by the country's Maoists

Violence: Protesters flee the riot police wielding long batons and shields

Police used tear gas to break up the crowd of protesters

Police in Kathmandu fired warning shots today as thousands of protesters gathered in Nepal's capital to demand an end to a crippling general strike imposed by former communist guerrillas seeking the government's resignation.

The crowd of 20,000 - including doctors, lawyers, business executives, singers, teachers, and labourers - demanded a halt to the six-day strike that has shut down transportation, businesses and schools in Kathmandu and other cities.

It was the largest protest against the Maoist-imposed strike since it began on Sunday.

The Maoists want Prime Minister Madhav Kumar Nepal to resign and hand power over to a Maoist-led administration. The government has said it won't bow to the demands.

Thai PM vows not to allow protesters to intimidate public again-Thai hospital near protest evacuates some patients

Political unrest: Bangkok police officers assemble outside Chulalongkorn Hospital which was stormed by anti-government protesters

Anxious: A mother waits with her child at Chulalongkorn Hospital before being evacuated to a different facility

A hospital in Bangkok next to an anti-government protest camp evacuated some of its patients on Friday after protesters forced their way into the grounds to look for soldiers they thought were there preparing an attack.

More than 200 "red shirt" protesters had barged into the grounds of Chulalongkorn University Hospital late on Thursday to look for troops.

They found none and left after roaming through the grounds, the lobby and car parks, some carrying wooden staves, for an hour. Some said they wanted to return on Friday to make sure there were no troops there but "red shirt" leaders ruled it out.

"We have told them it was an inappropriate move. We truly apologise for any inconvenience caused. Some were very concerned the hospital was harbouring troops," Weng Tojirakarn told Reuters.

Thai troops, protesters clash in Bangkok suburb-Thai king speaks for first time in political crisis ask new appointed judge to act honestly according to oaths to stabilize country.

Thai army soldiers fire at anti-government ''red-shirt'' protesters on a highway near the old airport in the northern suburbs of Bangkok April 28, 2010.

Thai troops fired live rounds in the air and shot rubber bullets in a chaotic clash with anti-government protesters on a highway in Bangkok's suburbs on Wednesday that wounded 10 people and possibly killed one.

Soldiers used rubber bullets or fired into the air with automatic weapons in an attempt to stop a convoy of up to 2,000 "red shirt" protesters on pickup trucks and on motorcycles who had left central Bangkok in defiance of a state of emergency .

About 100 protesters had moved ahead of the main convoy, charging the troops and riot police, who used batons and shields to push them back. Some protesters fought back by hurling stones and shooting metal balls from sling-shots, witnesses said.

The fighting stopped as a powerful tropical rainstorm moved over the traffic-choked area about 40 km (25 miles) from central Bangkok on Vipawadee-Rangsit road.

Meanwhile , Thai king speaks for first time in political crisis ask new appointed judge to act honestly according to oaths to stabilize country.

Clinton urges Iraq to form new government quickly-50 electoral candidate were suspended hampering election results amid factional squabbling.

 

Nuri al-Maliki's State of Law party won 89 seats in the Iraqi elections

 
Iyad Allawi's secular coalition narrowly won the March 7 vote


 
Iraq has suspended more than 50 electoral candidates.


US Secretary of State Hillary Clinton

US Secretary of State Hillary Clinton on Tuesday urged Iraqi leaders to resolve rows over the March elections and form a new government quickly, as more winning candidates risked being disqualified.

With a major US troop drawdown set for August hanging in the balance, Clinton amplified concerns among US officials over Iraq's long drawn-out effort to finalize the election results amid factional squabbling.

A judicial panel was set to rule Wednesday on the fate of nine other election-winning candidates who stand to be disqualified in a process that has thrown formation of the government into disarray.

On Monday, the panel eliminated at least one winning candidate and around 50 others who failed to secure parliamentary seats, drawing anger from former premier Iyad Allawi whose secular coalition narrowly won the March 7 vote.

One of those disqualified was a winning candidate from Allawi's Iraqiya bloc, which has alleged that it is being targeted by officials and religious parties who do not want him to obtain power.

Iraq election turmoil as panel invalidates votes

A policeman stands guard at a checkpoint at the entrance to Sadr City, northeastern Baghdad, April 24, 2010.

A review panel on Monday invalidated votes cast for 52 candidates in Iraq's election, throwing into doubt the slim lead of a Sunni-backed alliance and setting the stage for a possible spike in sectarian violence.

Electoral officials and politicians said Monday's decision may not alter the final outcome of the election, but a more significant ruling was expected on Tuesday, when the panel considers the fate of six to nine winning candidates.

The developments could raise tensions at a vulnerable time, with Iraq adrift in a political vacuum almost two months after the inconclusive March 7 vote, and U.S. troops preparing to end combat operations in August ahead of a full withdrawal by 2011.

Detained opposition leader in Sri Lanka parliament -Defeated Sri Lankan presidential candidate Sarath Fonseka has been released -Jayaratne -- the simple rural touch to Sri Lankan premiership-Sri Lankan new PM Sworn in

New Sri Lankan Prime Minister Dissanayake Mudiyanselage Jayaratne (L) hugs with former P.M. Rathnasiri Wikramanayake in Colombo, capital of Sri Lanka, April 21, 2010. Dissanayake Mudiyanselage Jayaratne was sworn in here as the 20th prime minister of Sri Lanka Wednesday evening




The general strongly denies corruption allegations


Sri Lankan President Mahinda Rajapakse (L) administers the oath of office to new Sri Lankan Prime Minister Dissanayake Mudiyanselage Jayaratne (R) in Colombo, capital of Sri Lanka, April 21, 2010. Dissanayake Mudiyanselage Jayaratne was sworn in here as the 20th prime minister of Sri Lanka Wednesday evening

Defeated Sri Lankan presidential candidate Sarath Fonseka has been released from detention to appear in the opening session of parliament.

The general, who is being court martialled, called for the "rule of law" in an attack on his arch-rival, President Mahinda Rajapaksa.

His comments were his first remarks in public since his detention on 8 February on corruption charges.

He travelled under escort from military custody to take up his seat.

Gen Fonseka fell out with the president after the defeat of Tamil Tigers rebels last May.

He was beaten by Mr Rajapaksa in presidential elections of January 2010.

Thailand's unrest spreads as army train blocked-Thai crisis spreads as military vehicles blocked

Anti-government demonstrators construct makeshift barricades Wednesday, April 21, 2010, in Bangkok, Thailand, protesting about the government. According to his official spokesman, Thailand's Prime Minister Abhisit Vejjajiva is ready to negotiate with protesters who are seeking a change of government, but only when the demonstrators who have illegally occupied city streets agree to abide by the country's law.


Anti-government protesters and supporters of ousted former Prime Minister Thaksin Shinawatra, look out from their makeshift barricades Wednesday, April 21, 2010, in Bangkok, Thailand, protesting about the government. According to his official spokesman, Thailand's Prime Minister Abhisit Vejjajiva is ready to negotiate with protesters who are seeking a change of government, but only when the demonstrators who have illegally occupied city streets agree to abide by the country's law.

Thailand's tense political crisis spread from Bangkok to the northeast, as anti-government demonstrators blocked a train carrying military vehicles that they claimed would be used to suppress fellow protesters in the capital.

The confrontation Wednesday came as the "Red Shirt" protesters and security forces remained locked in a potentially explosive standoff in downtown Bangkok. The determined demonstrators are demanding Prime Minister Abhisit Vejjajiva dissolve Parliament and call new elections immediately.

A failed April 10 attempt by security forces to flush protesters from their first encampment in the capital erupted into the worst political violence Thailand has seen in 18 years, with 25 people dead and more than 800 wounded.

Myanmar opposition party to boycott elections

The party of Myanmar's detained opposition leader Aung San Suu Kyi decided Monday to boycott the military-ruled country's first election in two decades after the Nobel laureate blasted new electoral rules as "undemocratic."

The main opposition National League for Democracy's refusal to participate would undermine the polls' credibility in the eyes of foreign governments, which have urged the diplomatically isolated junta to ensure all groups take part in the elections.

The military, which has run Myanmar since 1962, has touted this year's elections as part of a "roadmap to democracy," but a number of rules would prevent Suu Kyi herself from participating. The pro-democracy icon has spent 14 of the last 20 years in jail or under house arrest.

Suu Kyi's party won the last election held in Myanmar in 1990 by a landslide but was barred by the military from taking power.

On Monday, her party's spokesman, Nyan Win, announced after a daylong meeting that all 113 delegates present had agreed that the party should not register for the elections.

Cheering could be heard from the delegates as they concluded their meeting.

Nyan Win said the central committee members decided not to register because — as noted in a message sent to them by Suu Kyi — the electoral laws enacted by the junta "are unfair and unjust."

Her message also called stipulations in the law "undemocratic."

Nyan Win did not elaborate, but the party had previously objected to a provision of the party registration law that requires parties to expel members who have criminal convictions, or face deregistration.

Because Suu Kyi was convicted last year of allowing an unregistered guest to stay at her home, the provision would appear not to allow her to be a member of the National League for Democracy, which she helped found.

Suu Kyi is still general-secretary of the party and its most dominant figure.

The new election laws require political parties to register before the first week in May. Parties that do not register will not be able to participate in this year's election and will cease to exist, under rules enacted this month by the military government that also bar Suu Kyi from participating in the polls.

No date has been set for the polls, which critics deride as a sham designed to cement the power of the military.

Even before the official decision, party spokesman Nyan Win indicated the party would decide not to register. Asked if that would marginalize the party, he said, "We will continue to exist politically by not registering. If we register, we will only have a name void of all political essence."

"We will survive as long as we have public support," Nyan Win said.

Security was heightened, with plainclothes police and pro-government security guards stationed around the party's compound as the delegates met Monday in Yangon.

"This meeting is a life-or-death issue. If we don't register, we will not have a party and we will be without legs and limbs," said Win Tin, a veteran party member and one of Myanmar's longest-serving political prisoners, having spent 19 years behind bars before his release in 2008.

He said the journey ahead would be difficult if the party chooses to opt out of elections but that its members could still maintain their democratic principles and spirit.

Last week, Suu Kyi was quoted by her lawyer as saying she opposed registering her party. But she stressed she would let the party decide for itself.

Suu Kyi is under house arrest and the new election laws effectively bar her both from running and voting.

Myanmar's biggest opposition party said on Monday it would not register for this year's election, meaning Nobel Peace laureate Aung San Suu Kyi's party will have no role in the military-led political process.


The National League for Democracy (NLD) party, which won the last election in 1990 by a landslide but was never allowed to rule, said the entire party leadership had agreed not to run.

"After a unanimous vote of the central executive committee, the NLD party has decided not to register as a political party because the election laws ... are unfair and unjust," the party said in a statement.

The election has been widely dismissed as a sham after nearly five decades of iron-fisted army rule in the former Burma, a strategically situated but isolated country rich with resources like natural gas, timber and gems and a Southeast Asian port.

Senior party members made the decision six days after Suu Kyi, who has spent 15 of the past 21 years in detention, said she "would not dream" of entering if the decision was hers.

The comment was widely interpreted as a veiled instruction to party members as they prepared for a ballot on whether to run.

In comments relayed from her lawyer, Suu Kyi said the NLD was not ruined and vowed to keep up her fight for democracy.

"Registering the party under the unjust and one-sidedly drawn-up laws cannot be accepted," she was quoted as saying.

"I would like to tell the people that I will continue working for the emergence of democracy."

A senior party official had earlier told Reuters some members in favor of running in the election had been urged to vote otherwise to show the party was united.

UNCERTAIN FUTURE

Divisions had emerged in the party between advocates of a boycott and modernizers who believe the NLD would be a spent force if it did not run. However, senior NLD member Win Tin said the party would live on.

"The party will not die," he told Reuters. "We will be among the people, our activities will not stop."

The party faces dissolution if it refuses to register.

After the announcement, party members were in high spirits and chanted slogans to show their support for Suu Kyi, wearing T-shirts bearing her picture.

The NLD is most angered by the military junta's restrictive election laws, which bar current and former prisoners from taking part. Many NLD members are among the 2,100 political detainees in Myanmar, the most famous of whom is Suu Kyi.

After the last election, the junta promised to hand over power to the NLD after a constitution was drafted and a probe launched into the polls. Neither happened and the NLD was never allowed to rule.

Some in Myanmar's biggest city, Yangon, disagreed with the NLD's decision and said the country's best hope for democratic change had played into the hands of the generals.

"I think the NLD has made another major policy blunder," said a retired civil servant, who asked not to be identified.

"They've walked into a trap. They could have pressed on without Suu Kyi and got something out of the election."

Experts say the junta has learned from the botched 1990 election and has drafted a constitution that ensures it will effectively remain in charge, without the need to rig the polls.

The United States and United Nations have not publicly questioned the constitution but have said the election would not be credible if political prisoners could not take part.

Obama tells Karzai to clean up corruption

-------------------



After dining with Mr Karzai, Mr Obama donned a leather bomber jacket and addressed troops at Bagram.

United States president Barack Obama has urged Afghan president Hamid Karzai to clean up corruption and rallied troops to defeat the Taliban during a surprise visit to Afghanistan.

Mr Obama flew into Afghanistan under the cover of darkness aboard Air Force One and left before dawn after his first visit to the country since taking office more than a year ago.

He pressed Mr Karzai to step up the fight against corruption and the drugs trade and invited the Afghan leader to visit Washington on May 12.

Mr Karzai has pledged action against corruption, which infects every aspect of life in Afghanistan, as well as good governance and rule of law.

Mr Obama, whose relationship with Mr Karzai has been strained, urged his Afghan counterpart to "continue to make progress" on all fronts.

Afghan analysts say the visit sent a clear message to Mr Karzai that the US expects him to act on promises to eradicate graft before visiting Washington.

"Obama has set some homework for Karzai, reminding him that the anti-corruption issue must be taken more seriously and that not enough has been done so far," analyst Waheed Mujda said.

Haroun Mir, director of Afghanistan's Centre for Research and Policy Studies, says Mr Obama's visit sent a "strong message" to Mr Karzai.

"It was a strong message to president Karzai and his administration that the US cannot remain indifferent to the internal politics in Afghanistan," he said.

"I am sure before [Mr Karzai] goes to Washington in May he will have to take some proper measures to show that he has the intention and the political will to create some changes."

The visit, which included briefings with US General Stanley McChrystal and US ambassador Karl Eikenberry, gave the president the chance to assess the progress of his new war strategy.

After dining with Mr Karzai at the presidential palace in Kabul, Mr Obama donned a leather bomber jacket to tell cheering troops at Bagram he was confident they would stop the Taliban from regaining power and halt Al Qaeda.

"Our strategy includes a military effort that takes the fight to the Taliban while creating the conditions for greater security and a transition to the Afghans," he told US and NATO troops.

"But also a civilian effort that improves the daily lives of the Afghan people and combats corruption, and a partnership with Pakistan and its people, because we can't uproot extremists and advance security and opportunity unless we succeed on both sides of the border."

Bagram, the biggest US base in Afghanistan, came under mortar fire after the president's departure, a NATO spokesman said, adding there were no casualties.

Mr Obama's visit coincided with a Washington Post poll that said 53 per cent of Americans approve of how he is handling the situation in Afghanistan.

The war against the Taliban, now in its ninth year, is claiming record fatalities among the 121,000 foreign troops in Afghanistan, where Mr Obama is deploying reinforcements in an effort to bring the war to an end.

Around 136 foreign troops have died in Afghanistan so far this year, compared to 78 in the first three months of 2009.

But Mr Obama remains confident the Taliban can be defeated.

"We're going to deny Al Qaeda safe haven," Mr Obama said.

"We're going to reverse the Taliban's momentum."

Back from the dead: Imelda Marcos plants ghoulish kiss on glass coffin of embalmed husband as she resurrects political career

Ghoulish: The extraordinary photocall took place in the basement of Marcos's mansion in the town of Batac

Campaign trail: Marcos (right) speaks to Batac residents from her battle bus after announcing her candidacy

Entourage: The former first lady (rught, under umbrella) held a rally at the Paoay Church in Paoay, Ilocos Norte province

Clan: Marcos's daughter Imee (right) is also running for office and aims to become governor of Ilocos Norte province

Elegant at 80: Marcos outside the family mansion in Batac last night

Symbol: Some of the 3,400 pairs of shoes belonging to Imelda Marcos found after her husband was ousted from office in 1986

Notorious: Imelda and her husband Ferdinand Marcos lived a life of excess while their people struggled to survive

Electioneering: Imelda Marcos leans forward to kiss the casket of her dead husband Ferdinand after announcing she would be standing for the Filipino parliament

Eyes closed and lips pursed, Imelda Marcos leans forward to plant a ghoulish kiss on the glass coffin containing her husband's embalmed corpse.

Many believed the former Filipino first lady, still elegant at 80, had cloistered herself away to spend her remaining days in anonymous ignominy.

They were wrong. At the last possible moment - and with her trademark taste for the theatrical - Marcos has exploded back into political life.
She announced today she will stand for her husband Ferdinand Marcos's former seat in national elections to be held on May 10.

Nor has age dulled her ambition. She is leading her brood into battle with daughter Imee running for governor of Ilocos Norte province and son Ferdinand 'Bongbong' Marcos Junior seeking a senate seat.

Marcos's decision to stand for parliament was a closely-guarded secret until now, in line with the Phillipines strict election laws.

The shamelessly political photocall held at the mausoleum in the basement of her own home, in the town of Batac, was her inimitable way of announcing she was back.

After posing with her husband's waxy body, resplendent in white jacket, ceremonial sash and polished medals, she moved upstairs to hold a press conference.
Typically, Marcos used the occasion to praise her controversial husband who was ousted by a 'people power' revolution in 1986.

'He was our best ever president,' she said, immaculate in tangerine blouse and matching trousers.

'During his time we had territorial integrity, freedom, justice and human rights. Whatever else people may say those were the best times ever for the Philippines.'

She insisted age was no issue. 'It is true that I am 80 years old, but I can also be a grandmother for our country,' she said.

Marcos astounded political observers when she registered at the last possible moment to run for election.

She stressed that her motivation was redemption for her husband, who is accused of stealing billions of dollars from state coffers during his 20-year rule.
I did this to ensure and uphold political integrity and the truth,' she said before outlining her ambitions for the country.

'What I really want is to be a mother to each and every village so it will be a village fit for human beings,' she said.

'I will not stop until each and every village becomes a human settlement and also a paradise, because it is doable, because it is possible to make human settlements a paradise.'

The former first lady is no political novice. She was housing minister and governor of the Manila capital region during her husband's rule and also ran an unsuccessful campaign for presidential office in 1992.

But it is her eccentricities, extravagance and corruption that most remember - as well as her collection of 3,400 pairs of shoes, many never worn.

They were discovered in her palatial apartments after the bloodless coup and immediately became a symbol of the couple's excess. While the Marcoses lived in splendour, millions of their people suffered abject poverty.
In the wake of the coup, they fled to Hawaii, where the one-time president was to spend the last years of his life.

He died from kidney and heart failure in 1989 and was never brought to account for what is believed to have been the world's biggest theft.

His wife, however, was put before a New York court in 1990, accused of stealing $220million.

This amounted to only a fraction of their jointly acquired wealth. Estimates stood at a staggering $50billion.

She was acquitted but faced 901 separate lawsuits whens she finally returned to the Philippines from exile in 1991. A handful are still outstanding.

The Marcos estate has also been successfully sued for $2billion damages by 10,000-exiled Filipinos. But the irrepressible Imelda has never been convicted of a criminal offence.

She has run two unsuccessful presidential campaigns but her most high-profile venture in recent years was a clothing and jewellery chain.

Two more blasts in protest-hit Thailand

The rallies mounted by supporters of ousted premier Thaksin Shinawatra have been met with a heavy security deploymentz`



The "Red Shirts" are pushing for fresh elections


The "Red Shirts" have won headlines with stunts like donating their own blood to splash on the prime minister's home

Thailand upgraded security measures Thursday after two more blasts hit government buildings, the latest in a string of minor attacks since anti-government protests erupted this month.

The rallies mounted by red-shirted supporters of ousted premier Thaksin Shinawatra have been met with a heavy security deployment, including a lockdown on parliament that has triggered an opposition boycott.

Authorities said that the new blasts, which hit a provincial hall on Bangkok's northern outskirts and a government building west of the capital on Wednesday, had hit weak spots in the operation involving 50,000 personnel.

"We have to adjust our operation to curtail the attacks," Deputy Prime Minister Suthep Thaugsuban told reporters.

"Intelligence reports say they want to create unrest to show that the government cannot control the situation, but I want to reassure the Thai people that the government is in control," he said.

The blasts, which follow eight other minor explosions since the protests began on March 14 to push for fresh elections, caused minor damage but no injuries.

Most of the incidents have involved grenades, but police investigating the provincial hall explosion, which left a small crater 20 centimetres (eight inches) deep, said they believed it was a bomb fuelled by TNT.

Metropolitan police commander Santhan Chayanont ordered police to increase the number of checkpoints and patrols, particularly on main roads and at key government facilities, and enforce searches for weapons and explosives.

Prime Minister Abhisit Vejjajiva on Tuesday extended a tough security law enacted for the demonstrations, applying it to Bangkok and nearby districts for an additional week as the "Red Shirts" vowed fresh action.

Opposition Puea Thai lawmakers boycotted parliament for a second day Thursday to protest tight measures including concrete and razor-wire barricades surrounding the building and thousands of soldiers and police on duty.

The president of the upper house, Prasobsuk Boondej, also criticised the military deployment as an over-reaction and said some senators had problems entering the building.

Defence Minister Prawit Wongsuwon assured protesters spooked by the heavy presence that the military would not use force to end nearly two weeks of demonstrations, but said he was concerned over the blasts.

"They must talk to each other, this is all about politics," he told reporters, adding that the security at parliament would be scaled back after the session ended Thursday.

The Red Shirts are planning a mass rally in Bangkok on Saturday, which they say will "shut down" the capital and exceed in size a street parade last weekend that drew 65,000 people.

The Thaksin loyalists, who have won headlines with stunts including donating their own blood to splash on Abhisit's home and offices, on Thursday shaved the heads of dozens of volunteers in a gesture of defiance.

Thousands of Thai protesters surrounded the office of Prime Minister Abhisit Vejjajiva on Saturday, raising fears of a confrontation after repeated threats to expel troops guarding Bangkok's old city.

Red-shirted demonstrators seeking new elections pulled down barricades and threatened to force their way into the heavily guarded Government House compound. Neither Abhisit nor his government were present.

After negotiations with security chiefs, the protesters returned to their encampment, fearing Abhisit would declare a state of emergency that would allow security forces to break up their mass rally.

"We don't want them to use this as a reason to impose an emergency decree," Nattawut Saikua, a protest leader, said. He had earlier said the demonstrators had reached "breaking point."

The "red shirts" back twice-elected former premier Thaksin Shinawatra and have taken aim at the military and so-called bureaucratic elites they say are meddling in politics and conspired to overthrow Thaksin in 2006.

Their fiery rhetoric represents a more confrontational approach and a level of brinkmanship not seen in the two weeks of peaceful rallies, which analysts say have won the protesters support but brought them no closer to toppling the government.

The lack of violence combined with Abhisit's steadfast military backing has encouraged foreign investors lured by cheap shares with high dividend yields to pour into Thailand's stock market in recent weeks.

On Friday, foreigners bought Thai stocks for a 24th straight session, spending a net 1.01 billion baht ($31.2 million). They have purchased about 47 billion baht ($1.5 billion) since February 22 as hot money continues to flow into regional bourses.

Thai Finance Minister Korn Chatikavanij said on Friday capital inflows into the Thai bourse should continue for the foreseeable future, although any escalation in political tension could trigger outflows.

Anupon Sriard, an analyst at BFIT Securities said on Saturday the increased tensions were not likely to affect Thailand's financial markets when then reopen next week.

"As long as it is peaceful enough, everything should already be priced in, unless of course, we see some violence," he said.

BANGKOK ON EDGE

Analysts say protest leaders are facing a dilemma: either maintain their non-violent approach and fail to rattle the government, or up the ante and risk sparking clashes that could cost them their gains in support and credibility.

The threat of unrest has left the city of 15 million people on edge, compounded by a slew of mysterious blasts and grenade attacks causing only minor damage. The latest came on Saturday evening when a bomb exploded near the army-run Channel 5 television, injuring two soldiers and two civilians.

Thai markets avoid protest sacrifice-Protestor pour human blood to force election

Riot police stand behind a pool of human blood poured by supporters of former premier Thaksin Shinawatra in front of the Democrat Party headquarters in Bangkok March 16, 2010.



Thailand's anti-government red-shirts take part in a motorcade procession around Bangkok, capital of Thailand, March 20, 2010. The motorcade procession by red-shirts took place as the anti-government movement, led by the United Front of Democracy against Dictatorship (UDD), staged a massive rally in Bangkok since March 12, aiming to pressure the government to dissolve the parliament and to call a snap election




Sacrificial blood may be staining Bangkok streets but it hasn't spilled over into Thai markets, low valuations showing more room for gains in stocks and the baht as investors rush for some of Asia's cheapest assets.

Despite a week of noisy protests in which the opposition made headlines emptying bottles of their blood outside the home and office Prime Minister Abhisit Vejjajiva, portfolio managers are crowning crisis-prone Thailand an emerging market darling.

Longer-term questions remain. Thaksin's allies are likely to win polls that must be called by 2011, and Thailand's royalist elites and military leaders would almost certainly seek to overturn that result, possibly with another coup.

"IGNORE POLITICS"

"The demonstrations have by and large been peaceful and this is taken as encouragement Thailand will see relative political stability going forward, enough for an acceleration of growth," said HSBC senior economist Frederic Neumann in Hong Kong.

That's music to the ears of those who see value in long-underperforming Thailand, where publicly traded companies trade at just 11.9 times estimated 2010 earnings, the second-cheapest in Asia after Pakistan.

They offer a dividend yield that averages 3.75 percent compared with 2.6 percent for U.S. stocks and just 1.3 percent for Chinese equities, according to Thomson Reuters data.

"As a value investor, I would just resort to buying the cheapest markets in the region right now, which would be Japan and Thailand. Ignoring the political framework there makes a lot of sense because it's all priced in," said Arnout Van Rijn, chief investment officer for Asia at Robeco Hong Kong.

Chris Wood, an analyst at brokerage CLSA, added: "If foreign investors become convinced politics has stabilised for now in Thailand, there is the potential for a significant catch-up rally led by foreigners buying bank shares in an economy which will be driven by pent-up domestic demand."

Thai banking shares .SETB have already risen 9.07 percent this year after more than doubling in 2009.

The sector, with its 12 listed banks, trades at an average 15.2 times estimated 2011 earnings, more expensive than 11.2 times for all listed Thai firms but cheaper than Indonesian banks trading at 16.6 times, according to Thomson Reuters data.


Wood added a percentage point to Thailand in his relative return portfolio last week at Vietnam's expense. He sees more room for gains in part because foreign investors sold a net $7.6 billion of Thai shares since July 2007 and have bought back just $2.1 billion since March last year.

Nomura International regional strategist Sean Darby likes Thai banks, especially Siam Commercial Bank SCB.BK and Kasikornbank KBAN.BK, which both recently raised dividend payouts. He is concerned about Thai politics but only if it hits tourism, which supports about 5 percent of the economy.

"In Southeast Asia, we prefer Singapore, Malaysia and Thailand ... aside from Indonesia, the region is inexpensive," Darby said.

THAILAND VS INDONESIA

Renewed attention on Thailand, Southeast Asia's second-biggest economy, is drawing comparisons with Indonesia, the region's top economy and long-time emerging market favourite.

Stocks in Jakarta .JKSE are up 8 percent this year, outperforming Bangkok's 3 percent rise and helped by a stable government, strong economy and credit rating upgrades.

But U.S. investment bank Morgan Stanley argues Thailand can steal some of Indonesia's thunder, upgrading Thailand this month to "overweight" and downgrading Indonesia to "underweight", noting attractive valuations overshadow Thailand's risks.

That all points to further gains in the baht currency, said economists at Barclays. Thailand's currency is up about 3.2 percent against the dollar this year, despite intervention by the Bank of Thailand, after rising 4.6 percent last year. Equity market inflows and a comfortable balance of payments surplus should translate into further baht gains, Barclays said in a view shared by several other foreign and domestic banks.

While lavishing attention on stocks, foreign investors have largely abandoned Thai bonds since an army-appointed government imposed capital controls in 2006. They were lifted in 2008, but foreigners account for less than 1 percent of trade.

Yields are steadily rising on expectations of a quarter-point interest-rate rise in June. Spreads between five-year swaps and one-year swaps have narrowed to an eight-month low of 179 basis points, indicating rate hikes are priced in.

Foreign investors have rushed into the "Land of Smiles", relieved by the lack of violence and confident Abhisit's 15-month-old government will survive, driving the baht to a 22-month high and stocks to a 20-month peak.

The $1.2 billion (800 million pounds) of foreign Thai stock buying since February 22 alone rivals all of last year's, when Thai stocks .SETI rose 63 percent and the baht was Asia's third-strongest currency.

The allure is simple for many investors.

Thai assets already price in a relatively high degree of political risk. Stock valuations are among Asia's cheapest and dividend yields are among the highest.

Investors see the peaceful protests as a turning point, and the economy is rebounding quickly.

Political risk hasn't disappeared but many doubt the mainly rura.