Thailand's overall economy is set to pick up following caretaker Prime Minister Thaksin Shinawatra's decision to step down from office, according to the Federation of Thai Industries (FTI).

FTI's Vice Chairman Santi Vilassakdanont Was quoted on Wednesday by the Thai News Agency as saying that the premier's announcement had made all parties feel relieved and anti-Thaksin demonstrators should disperse.

Thaksin's move augured well for a solution to all conflicts, which would enable the government to go ahead with its economic policies and an acceleration of the constitutional amendment, he projected.

He said he was confident investment in the industrial sector would regain momentum after a slowdown due to the political woes.

He suggested the Board of Investment of Thailand (BOI) take this opportunity to attract foreign investors without any delay.

He said the private sector still wants the new government to forge ahead with the implementation of mega-projects such as an extension of electricity train sections.

He viewed the new premier should be a person with a lot of experience in the economic affairs who is able to form a competent economic team to help him manage the country's economy.

Source: Xinhua