Singapore's DBS Bank has downgraded Thailand's GDP growth forecasts to 1.6% and 3.8% year-on-year for 2014 and 2015.
"We reiterate our view that while monetary policy is likely to stay accommodative, we do not see further rate reductions," it said.
"Looking for further downside to government bond yields does not appear attractive from a risk/reward perspective. With a still-sizable foreign holding profile, bond outflows pose a significant upside risk to yields."
The Thai baht is no longer expected to recover last year’s losses, but is likely to remain stable
Meanwhile, Fitch Ratings sais on Friday the military takeover of Thailand's government is not in itself a negative sovereign ratings trigger.
The key factor for Thailand's sovereign credit profile is the speed at which the country can move towards installing an effective, fully-functioning government without sparking a further escalation in political stability.
The coup underscores the ongoing political uncertainty, while it does not present an inherent challenge to the establishment of a new process to revert to stable government.