Prime Minister Prayut Chan-o-cha has denied that he is planning to dissolve parliament to escape the no-confidence debate expected next month.
"There's no such plan whatsoever," he said after a meeting on state land policy on Thursday.
The remark came after Anusorn Iamsa-ard, spokesman of the main opposition Pheu Thai Party, cited rumours "made by government insiders" that Gen Prayut was looking to dissolve parliament to pave the way for a fresh election in order to avoid the censure debate.
Mr Anusorn said the government was reaching a political dead-end as it was beset with a myriad of national problems it could not tackle.
Deputy Prime Minister Prawit Wongsuwon dismissed the claim as baseless, saying there is no reason for the premier to throw in the towel because he has run the country according to the law.
"We did nothing to damage the country. I don't know why he even bothered to pay attention [to the rumour]," Gen Prawit said.
Suporn Atthawong, assistant minister to the Prime Minister's Office, said Gen Prayut has maintained a corruption-free track record.
He slammed the opposition for creating the parliament dissolution rumour, which is hurting investors' confidence in the country's political stability and the economy.
Meanwhile, a motion has been tabled seeking to remove Pol Gen Sereepisuth Temeeyaves as head of the house committee on corruption.
The motion was initiated by Palang Pracharath Party MPs Paiboon Nititawan, Sira Jenjaka and Sutha Pratheep, who accused Pol Gen Sereepisuth of acting against a committee vote at a meeting on Wednesday.
The committee had voted 8 to 7 to drop a plan to deliberate the issue of Gen Prayut's incomplete recital of his oath of office. The petition had been thrown out by the Constitutional Court last year as the court ruled it was beyond the jurisdiction of any court to decide.
Pol Gen Sereepisuth, however, insisted on pressing ahead, said Mr Paiboon.