BANGKOK - Thai Prime Minister Abhisit Vejjajiva on Tuesday ordered review of overall relations with Cambodia in the wake of border clashes between the two countries.

Review of bilateral ties was proposed by Foreign Minister Kasit Piromya at the weekly Cabinet meeting.

Government spokesman Panitan Wattanayagorn said the Cabinet had resolved that conflict would be confined to border dispute only; military clashes would be restricted to two areas; and the government would cooperate with all relevant agencies as well as international organizations.

The spokesman said the military would take retaliatory action to push Cambodian soldiers out of the disputed border areas and that the government would step up diplomatic efforts to bring Cambodia back to bilateral talks.

He believed the situation would improve after the leaders of Thailand and Cambodia meet during an ASEAN summit in Indonesia scheduled on May 7-8.  Foreign Minister Kasit Piromya also has an appointment to meet with his Indonesian counterpart Marty Natalegawa on April 28.

The spokesman revealed that Thailand could reach agreement with the current rotating ASEAN chairman -- Indonesia -- on the deployment of Indonesian observers to the disputed border areas.