The general election of 6 January 2001 produced a pro-business coalition led by a political face—telecommunications tycoon Thaksin Shinawatra—who was familiar to and trusted by Thailand's vested elite. Thaksin was helped by the 1997 constitution, which centralized power in political parties, making it near impossible for members of political parties to defect to other parties and which compelled party discipline. The 1997 charter made the Senate a fully elected body, and the Thai Rak Thai Party (TRT) quickly gained influence over a majority of senators. As for military influence in the upper house, very little could be found at all.

In the lower house, Thaksin merged several smaller parties into his own, enlarging TRT's share of the parliamentary pie. His popularity surged and he became a new pillar in the Thai political equilibrium— below the palace but above the military. He seemed to particularly threaten the influence of aging Privy Council chair General Prem Tinsulanonda. Across Thai society, Thaksin was a beacon for the rural masses, though urban elites were highly suspicious of him.

There was a repressive side to Thaksin, however. As a former police officer and corporate head, he advocated a top-down CEO management style of governance. To quell negative media coverage, Thaksin bought up the only independent television station, the others being government owned. They all soon towed the line of presenting only positive coverage of the government. Radio stations, meanwhile, were subject to greater censorship, while Thaksin and his associates intimidated newspapers that carped against him. He also managed to stack the courts with his own cronies while also dominating the Senate.

The king appeared satisfied, however. Moreover, the Thaksin government seemed to be a boon for the kingdom amidst the continuing economic morass that seemed to be undermining both national security and the Crown Property Bureau's finances. As such, the palace seemed intent on keeping Thaksin in office, if only to maintain some sense of administrative durability. Moreover, Thaksin, as a business tycoon, could help strengthen Thailand's economic health. Despite any misgivings he might have had about Thaksin, Prem was called upon to rescue the new prime minister when the latter encountered legal problems in 2001. After Prem apparently used his “enormous clout” to sway constitutional judges to acquit Thaksin during his 2001 assets concealment trial, Thaksin then agreed to keep Prem-loyalist General Surayud Chulanond as army chief for one more year.