As Japan ramps up its aggressive stimulus efforts, all the extra cash floating around the markets could help benefit Thailand’s economy and country-specific exchange traded fund.

The iShares MSCI Thailand Capped ETF (NYSEArca: THD) has gained 1.7% over the past week and increased 23.1% year-to-date.

Thailand is the third-largest locale for Japanese foreign direct investment this year, attracting $2.6 billion in Japanese FDI over the first half of the year, reports Wayne Arnold for Barron’s.

China is Japan’s second-largest investment destination, pulling in $2.9 billion in new Japanese investments over the first half, but anti-Japanese sentiment, along with rising production costs, has pushed down investments to China by 42%.

Moreover, Thailand is also attracting a large chunk of Japanese credit, with the country now the second-largest destination for Japanese bank lending in Asia after China. Over the second quarter, Japanese loans to Thailand expanded 75% to $77.5 billion.

While some observers may believe Thailand is still rife with political volatility, especially after the military took control in May, Thailand’s economy and incomes have historically expanded faster and remained more stable under the three times the military led government, compared to the nine civilian ones. [Thailand Stocks, ETF Flourish Under Military Rule]

Nomura calculates that Thailand’s economy will expand 1.1% this year and rise to 3.3% next year.