CORRECTED - UPDATE 3-Thai foreign minister says unrest will be overcome
* Minister vows to be friendly to foreign investment
* Says stability must return before summit is rescheduled
* Lauds security force restraint that averted "civil war" (Corrects distance in paragraph 8)
NEW YORK, April 21 (Reuters) - Thailand will be able to overcome the civil unrest that has paralyzed and embarrassed the Southeast Asian country, Thai Foreign Minister Kasit Piromya said on Tuesday.
"I am confident, yes, that we can overcome it," he said in remarks to the Asia Society in New York.
But he said a summit of Asian leaders that has been canceled twice because of the instability will have to wait until the country has returned to normal.
Thai Prime Minister Abhisit Vejjajiva suffered a huge embarrassment when anti-government protesters invaded the Thai venue for the East Asia Summit 10 days ago, forcing its cancellation. Two people died and more than 100 were injured in the protests.
Bangkok remains under emergency rule as the government tries to contain political violence that has seen troops clash with protesters and an assassination attempt on the leader of a royalist pro-government movement.
Kasit said Bangkok would consult with ambassadors from the other 15 invited nations before deciding when to reschedule the summit of the 10 member nations of the Association of South East Asian Nations (ASEAN) plus China, Japan, South Korea, India, Australia and New Zealand.
"Without a political settlement there is no point in having a summit meeting in Phuket while the streets of Bangkok are still full of the red shirts and the yellow shirts," Kasit said, referring to protesters. "Let's settle the political thing first and then we can determine the dates later.
Foreign Ministry officials said earlier on Tuesday the summit may be held in June on the southern resort island of Phuket, more than 530 miles (860 kms) from the capital.
The political instability has been a concern of foreign investors, whose confidence was hit by efforts by the previous military-installed government to tighten the Foreign Business Act to restrict foreign ownership of local companies.
Kasit said his government would keep the Foreign Business Act "the way it is" and protect intellectual property rights.
"We will maintain Thailand as an open market economy, friendly to the international community," he said.
He also praised the restraint of the security forces, saying, "If there were to have been one death caused by the security forces Thailand would have turned into civil war." (Editing by Paul Eckert and Vicki Allen)
