Thailand, a country fraught with internal strife and tourism being a key component of the economy, may not be the most stable country for exchange traded fund (ETF) investors who are risk-averse.

The Thailand baht has erased all gains against the dollar over the past two years and the SET index of Bangkok’s 50 largest stocks is finishing its worst year since 1997, according to Carl Delfeld for ETF Xray.

Thailand has suffered one coup every four years or so since the country’s first constitution in 1932. Today, an interim government is working out of a temporary office in an old airport.

The country’s export-based economy has grown 4% in the third quarter after a 5.3% gain in the second.

The banks are no longer debt-funded but mostly equity and have minimal overseas exposures. The central bank has $103 billion in reserves.

Late Tuesday, anti-government protesters converged on Bangkok’s main international airport which caused the cancellation of all departing flights and brought Thailand to a political crisis point, reports Thomas Fuller for The New York Times.

Suvarnabhumi Airport is the main gateway for businesspeople and tourists arriving in Thailand and a major transit hub for the Southeast Asian region.

Protesters say they plan on disrupting more government institutions and other important sessions of parliament.

The political unrest and its effect on the Thai economy could be unfavorable for the iShares MSCI Thailand Investable Market Index Fund (THD), which is down 59.3% since its April 1 inception.

Tags: Asia, Emerging Markets, Thailand, THD