Malaysia has welcomed the election of Abhisit Vejjajiva as the new Thai premier, but said his first two weeks in office will be watched with much interest.

"We are happy as the turnout of events produced what we expected, that is, the election of the new prime minister with a very clear majority," Foreign Minister Rais Yatim said late Monday according to the state Bernama newsagency.

thailand new pm new govt 161208 02"Looking at his background, I believe the new prime minister would have the acumen and fortitude to lead," he said from Jakarta, where he was meeting with Southeast Asian foreign ministers.

However, Rais echoed the views of political commentators who say that Abhisit faces a tough job to calm Thailand's political crisis and repair the economy, which has been hit by months of turmoil.

"As in all cases, perhaps the next two weeks ought to be seen with much interest.

"That is to say it would be better for us to wait for the formation of the next (Thai) cabinet," he said.

Meanwhile, Thailand's new government will prioritise boosting the flagging economy, with premier Abhisit set to head up the financial team.

Abhisit, the Democrat Party leader who was elected as Thailand's new prime minister by parliament on Monday, told reporters he would oversee economic matters, as the kingdom struggles after months of street protests.

He refused to go into detail about possible cabinet posts or government policies until the king issues a decree in the coming days officially installing Abhisit as Thailand's 27th premier.

The 44-year-old Oxford graduate said only that he was "preparing for work" and was ready to carry out his duty.

"I am still not accustomed to people calling me prime minister," he joked.

Suthep Tuagsuban, Democrat Party secretary general, told reporters that the financial portfolio was still being hammered out, with the new cabinet list expected by the end of the week.

"Abhisit will oversee the economic team because this government gives priority to economic matters," Suthep told reporters.

Third PM in four months

He said the ministries would be divided up between Democrats and representatives from their smaller coalition partners, whose defection from the former ruling party clinched the win for Abhisit.

thailand new pm new govt 161208 03"Most ministers in the cabinet are members of parliament, but those who are not MPs who will join the cabinet are competent, and I will begin courting them after the royal appointment of the prime minister," he said.

Abhisit's nomination came nearly two weeks after a court dissolved the ruling party, which was linked to ousted premier Thaksin Shinawatra.

The Dec 2 ruling also brought an end to a week-long anti-government blockade of Bangkok's two airports, which left up to 350,000 passengers stranded and cost Thailand billions of dollars in lost revenue.

Abhisit is Thailand's third prime minister in four months, and business leaders hope he will be able to restore confidence in the kingdom's economy, battered by the closure of airports and global financial woes.

Thailand's acting finance minister has warned that economic growth could be as low as two percent next year.