Protesters reject calls for talks with Thai PM

"The prolonged protest has destroyed confidence among investors and tourists," Thaksin said as he visited a Bangkok market to meet voters.

"If the political uncertainty remains for the next two or three months, Thailand will fall into another financial crisis," he said.

A financial crisis began in Thailand in July 1997 with the devaluation of the baht and spread to much of East Asia.

Since street protests demanding Thaksin's resignation over claims of corruption began in early February, the government has scaled back its growth forecasts for the year by a quarter-point.

Thaksin last week said he might consider stepping aside for long enough to allow for constitutional reforms sought by the opposition, before holding new elections.

But on Sunday he insisted that the April 2 snap elections must go ahead, despite an opposition boycott and doubts over whether the polls can produce a new parliament.