The bubble boom years of Thai economy had finally come to an end with a crisis in 1997. Art business was affected accordingly. Fifty six investment and securities companies were so financially devastated as to the point that could not be recovered. Three hundred and twenty two pieces of art works which those companies had owned were sold at an auction by the Financial Sector Restructuring Authority.

In 1996, many art spaces were created whether they were alternative or commercial quality galleries. They contributed a great deal to the contemporary art circle. Amongst those galleries were Tadu Contemporary Art, About Studio – About Cafe',Project 304, and Numthong Gallery. Despite the 1997 economic crisis, the art circle in this decade was lucrative; many galleries were open and more art activities and movements took place.

Thai art was attached to international circles continually. Art exhibitions and artists from around the world were welcome to the Thai society whereas Thai artists went to show their works of art and exhibitions abroad. Art museums in different countries purchased art works of Thai contemporary artists for their permanent collection. Groups of Thai artists as well as individual ones were invited by different art organizers in many countries to show their art works and exhibitions. Those figures included Montien Boonma, Chumpon Apisuk, Thavorn Ko-Udomvit, Araya Rasdjarmrearnsook, Rirkrit Tiravanija, Pinaree Sanpitak, Chatchai Puipia, Surasi Kusolwong, and Navin Rawanchaikul. In 2003, Thailand participated officially in the most prestigious and oldest international contemporary art event—Venice Biennale.

According to the bureaucratic reform in 2003, the Ministry of Culture was established. This reform also gave birth to the Office of Contemporary Art and Culture, which is a department in the newly-established ministry. It had Apinan Poshyananda, a former conceptual artist, as its first Director-General. The foundation of this new department consequently defined the responsibilities of the Fine Art Department to exclusively preserving and conserving antiques.

From the Golden Jubilee Art Exhibition: 50 Years of Thai Art, organized on the auspicious occasion of His Majesty the King’s golden jubilee in 1996, came the initiation of building an art website by Rama IX Art Museum Foundation. This website became a virtual art museum on the Internet. However, it seemed that a contemporary state art gallery or museum was likely to move slowly. The building of Bangkok Art and Culture Centre at Pathumwan Intersection, initiated in Phichit Rattakul’s administration as Bangkok Governor, was halted during Samak Sunthorawet’s administration. It was only to be continued again by Governor Aphirak Kosayothin and it is expected to finish and ready for opening in 2007.

In the northern province of Chiang Mai, the Chiang Mai Social Installation brought about a good surprise amongst the new generations of radical Thai and international artists. However, after the second half of the decade starting from 1987 art movements began to decline. Yet still, more artists moved northwards from Bangkok to Chiang Mai to make it their base for creating their works of art. Those significant figures included Kamin Lertchaiprasert, who founded Umong Sippadhamma Art Center which serves as an art gallery and a meditation place. Rirkrit Tiravanija, who is well-known internationally, joined hands with Kamin to run a project called ‘The Land’. This project served as an art space and an alternative lifestyle in the midst of paddy fields away from the vicinity of urbanized Chiang Mai.

During this decade, installation art was the most popular and gained much attention. It was harmoniously and creatively integrated with other branches of art as witnessed in the work of prominent artists like Surojana Sethabutra’s sculpture-ceramic installation and Kachornpon Chernkwansri’s print installation. However, performance art was still low-profiled and limited to only a small group of artists like the U-gabat Group. This group was the core organizer of the Live Art project (initiated in 1996) which was later developed to be an international project called Asiatopia (initiated in 1998). For the case of new media art, the use of video and performance art or installation art were combined. This trend in the art could be vividly expressed in the work of a number of forerunner artists like Amrit Chusuwan and Araya Rasdjarmrearnsook. They videoed themselves while doing a performing art and then playing it on TV as installation art.

Painting which portrays the ordinary life of villagers or farmers, so-called ‘Thai life’ painting, was always the most popular theme. This could been seen through the works of such painters as Tinnakorn Kasornsuwan, Pornchai Jaima, Niwat Kosal, Chairat sangthong, Anupong Kachacheewa, Anan Ratchawangin, and Kreangkri Muangmul. Melancholic and lonely life of the poor in the city was portrayed in the paintings of Thirdkeat Wungvucharakul whereas life of the lower class in the urban area in Bhanupong Chooarun’s paintings conveyed senses of humour. Vorasan Supap depicted life of fishermen while modern life in the city was portrayed uncannily in the paintings of Thaweesak Srithongdee.

The art with the theme of social criticism became a trend which spread in all parts of the art circle including government and private art competitions or even amongst groups of independent artists outside the competition circle. Social activist artists like Vasan Sitthiket still created the works that gave considerate impact to the art circle as well as the general public. Paretas Hutanggura portrayed a hybrid society verhemently. Nawin Biadklang and Weerasak Sadsadee worked independently on the same theme of sex trade but from different perspectives. Manit Sriwanichpoom was outstanding for his social criticism works and that he made use of photography as a creative creation in the fine art. His contribution on this gained more serious attention and wide acceptance. Somsak Raksuwan criticized society through the painting of a naked woman against hua khon, the traditional mask worn by actors of the classical Thai dramatic dance. This work evoked fierce responses from the public that thought it was disgraceful. Last but not least, Sakol Sutthiman and Anupong Chanthon depicted critical images of social and religious problems.

Besides realistic painting, traditional painting which portrays the Thai-ness was always popular throughout the sixth decade. The dominant artists in this range comprised Chakrabhand Posayakrit, who painted in both traditional and realistic styles, and Panya Vijinthanasarn, who combined traditional Thai with contemporary universality. Panya was usually chosen to be responsible for a big painting project such as Suwannabhumi Airport project and Thai International Airline project. Another dominant figure in the range was Chalermchai Kositpipat who was famous like a superstar. His most significant and most acclaimed work in this period was the designing and building of the ordination hall of Rong Khun Temple in the northern province of Chiang Rai. Not only did the works of these three prominent figures have great influence on the works of later generation artists, but also a lot of it were duplicated commercially and sold to urban elites as well as international tourists.

Buddhism was another main theme of art creation of contemporary Thai artists. Sculptors like Nonthivathn Chandhanaphalin and Vichai Sithiratn whose respective works had involved abstract ideas, turned to be interested in representing the Buddhist philosophy. This was similar to Noppadon Viroonchatapun, a new generation sculptor, who produced juxtaposition works of the realistic and the surreal under the theme of Buddhism and personal matters. Furthermore, a new generation of print artists also turned their interest to creating more installation art with the concept of Buddhist precepts as seen in the works of Phatyos Buddhacharoen or with the idea of traditional rituals in Buddhism as appeared in the works of Wiranya Duangrat, Den Warnjing, and Alongkorn Lauwatthana. Nonetheless, interpreting Buddhism in interesting new ways, renowned Montien Boonma and Kamin Lertchaiprasert were able to give the novelty of ideas and tastes to the contemporary art.

Although abstract art was no longer new, it was presently the powerful language of visual art. This was evident in the paintings of famous artists whose influence lived through decades. Those figures included Kanya Charoensupkul, Roong Trirapichit, Thaiwijit Puangkasemsomboon, Chumpon Uthayophat, Chalit Nakpawan, and Natthalet Supat-akanit. In addition, a promising new generation of print artists included Thamrongsak Nimanussornkul, Prakornpatara Janthakhaisorn, Naphat Thamaniya, Udom Chimpakdee, Paiyan Banjongklieng, Adul Boonchum, and Udon Jiraksa.

A numbers of artists famously known during 1957 - 1967, being both self-taught artist like Prathaung Emjareon and those with good art education background from a prestigious school like Silpakorn University but never brought themselves to the dominant National Exhibition of Arts nor praised ‘artists of distinction’ like Thawan Dachanee, Tawee Rajneekorn, and Kamol Tassananchalee but successful as artists outside the competition circle, were however given the highest honour for their achievement as the ‘national artist’ in this decade.

While competitions organized by either the government sector such as Silpakorn University or the private sector were still the main venues for new generation artists to show their works of art to the public, an increasing number of artists insisted on establishing themselves as an independent artist who sought no renown or success from an art competition institutions within the country or from abroad.