'The current crisis affecting financial institutions in the US may have some effects on Thailand, but I believe there is not much to worry about,' Prime Minister Somchai Wongsawat said at a press conference with top Thai financial officials. 'It is under control.'

Mr Somchai made the remarks after meeting with officials at the finance ministry to discuss measures to restore investor confidence in the country amid the global financial crisis caused by the tumbling US financial sector.

Acting finance minister Mr Surapong Suebwonglee told reporters the collapse of investment giant Lehman Brothers would likely affect investor confidence over the next couple of months, but the government could handle any future repercussions.

Ms Patareeya Benjapolchai, president of the Stock Exchange of Thailand (SET), said there were no problems in the Thai market even though it lost more than 30 points in the morning session.

'The (Thai) index fell this morning because of psychological effects on investors who were uncertain about a clear direction to find a solution to the US crisis. The decline is likely to be short-term,' Ms Patareeya said.

She also said SET's listed companies have strong foundations with a low percentage of investments abroad, particularly in the debt instruments that have crippled the US financial industry.

Markets have been battered this week since Lehman Brothers said it would file for bankruptcy on Monday after negotiations failed to arrange a rescue, and the US Federal Reserve bailed out global insurance giant American International Group on Tuesday to avert its collapse. -- AFP