Former Thai Prime Minister Thaksin Shinawatra, a key supporter of the ruling government, was granted bail on Tuesday after being charged with insulting the monarchy during a 2015 interview, avoiding pre-trial detention.

His case is the first of four significant legal battles involving major political figures, which could push Southeast Asia's second-largest economy into uncertainty.

These cases involve influential politicians, including the current prime minister, and may exacerbate the longstanding divide between the conservative-royalist establishment and its opponents, such as the ruling Pheu Thai party and the opposition Move Forward party. Thaksin, 74, sought bail in Bangkok after being formally indicted for offenses that could result in up to 15 years in prison per insult. He was granted bail with a payment of 500,000 baht ($13,600).

Separately, the Constitutional Court is reviewing a case that could see Prime Minister Srettha Thavisin dismissed for appointing a lawyer with a criminal record to his cabinet. The court will also hear a case that could disband the Move Forward Party for its campaign to amend the royal insult law. The court is expected to announce further hearing or verdict dates for these cases on Tuesday.

Additionally, the court will rule on the legality of the current selection process for a new upper house. If this process is delayed or canceled, it could extend the term of military-appointed senators who played a crucial role in forming the previous government.

Political scientist Thitinan Pongsudhirak noted that the judicial system's assertiveness has repeatedly thwarted elected representatives, potentially destabilizing Thailand by undermining popular mandates.

Such political tensions have historically led to protests, party dissolutions, airport closures, and military coups, all detrimental to the economy. The political uncertainty has affected Thai stock markets, with the main index dropping to its lowest since November 2020 on Monday but rising by over 1% on Tuesday morning.