"I will build houses for one million people in the first two years after I am elected, then all 1.7 million in the following six months," he said, basing his target on the total number of 1.7 million people who had registered with authorities as being poor.

Thaksin said he would also develop village funds into village banks and would spend Bt200 billion to solve the country's drought problem, Bt100 billion to improve schools, and another Bt100 billion to improve the public health service.

More than 50,000 residents in Buri Ram and neighbouring Surin turned up to show support for Thaksin Shinawatra. Traffic came to a standstill on roads leading towards Rajabhat Buri Ram Institute as crowds flocked to hear Thaksin speak at the institute stadium.

About 1,000 police officers provided security for Thaksin on the campaign trial yesterday and when he stayed at the home of Thai Rak Thai Party deputy Newin Chidchob on Monday night.

Siab Chamapet, 53, said he and about 30 people from his neighbourhood in Buri Ram attended the rally to show they were very satisfied with the government's performance and policies, especially the Village Fund. They fully support Thaksin's bid to return as prime minister and were not paid to attend the rally, he said.

Padung Thanuanlam, 45 said he attended the rally to give moral support to Thaksin because he really liked the Bt30 medical scheme. "We want the PM to continue his fight and we will vote him back in,'' he said.

Sunee Pinongram, 40, said she believed the general election on April 2 would go ahead even though major opposition parties are boycotting it.

Meanwhile, Thaksin conducted the weekly Cabinet meeting from Ubon Ratchathani via videoconference.

He instructed the Finance and Commerce ministers to reach an understanding with the business sector to support the government. It was now time for ministers to prove who supports him wholeheartedly and those ready to jump ship. He insisted he would not quit but would press on with the election.

He told Cabinet that a poll conducted by Thai Rak Thai showed that the party's popularity was still strong in the North, Central and Northeast regions. Its approval rating in the South and Bangkok had dropped, but that was expected.

The poll showed that 50 per cent of respondents in the South agreed with the election boycott but 40 per cent disapproved.

The most favoured government policies were the "war on drugs", the "war against poverty", the Bt30 medical scheme and the newly established Income Contingent Loan, a loan to ensure students can afford higher tuition fees.