Thailand’s plan to legalise casino resorts has encountered a fresh obstacle following the departure of a key coalition partner, the Bhumjaithai Party, from Prime Minister Paetongtarn Shinawatra’s government. Local media reported that the bill, which is scheduled for debate in the House of Representatives in July, is now under threat due to the government’s reduced majority.
The Bhumjaithai Party, which holds 69 seats in the 500-member House, formally exited the coalition on Wednesday, citing concerns over national sovereignty in connection with a leaked recording of a private phone call between Paetongtarn and former Cambodian leader Hun Sen.
“The ministers from the Bhumjaithai Party have submitted their resignation letters to the Prime Minister, effective from 19 June 2025,” local media, The Nation, quoted the statement.
The bill, officially known as the Entertainment Complex Bill, has already faced opposition within the coalition, including Bhumjaithai, which had publicly raised concerns earlier this year. The government had promoted the proposal as a regulated and transparent strategy to boost tourism and generate revenue.
Tensions escalated following the release of a phone recording in which the Prime Minister was heard expressing critical views about a Thai general responsible for the country’s border region. The conversation followed a border clash between Thai and Cambodian troops on 28 May near Ubon Ratchathani province, which left one Cambodian soldier dead and prompted stricter border controls.
The Bhumjaithai Party claimed that the Prime Minister’s remarks in the call compromised Thailand’s national interests, especially regarding the military and territorial issues. The party said its decision to withdraw was driven by the need to defend Thailand’s sovereignty and national dignity.
The exit of Bhumjaithai has reduced the coalition’s strength in the House. While some reports suggest the Pheu Thai-led government still retains a majority, the departure of a major party has made policy passage more difficult. Opposition parties, led by the People’s Party, have called on Paetongtarn to dissolve the Parliament and hold new elections.
The ongoing border dispute has also affected regional commerce and gaming-related business. Thai authorities have restricted cross-border movement since early June, impacting workers and travellers headed to Cambodian casino hubs like Poipet. Donaco International Ltd, which operates a resort in the area, has warned of adverse effects on its June performance due to reduced Thai patronage.