Thailand's embattled prime minister Paetongtarn Shinawatra will not resign or dissolve parliament, a senior official from the ruling Pheu Thai party said on Saturday, risking a prolonged political crisis in Southeast Asia's second largest economy.

The second-largest party in Thai Prime Minister Paetongtarn Shinawatra’s government quit the ruling coalition, a major setback for the leader facing calls for resignation for blaming her own military for escalating a border dispute with neighbor Cambodia.

The Bhumjaithai Party has announced its withdrawal from Thailand’s coalition government, while calling for Prime Minister Paetongtarn Shinawatra to take responsibility for comments in a leaked audio clip that threaten confidence in her leadership.