Thailand's Justice Minister Tawee Sodsong has announced that jailed former premier Thaksin Shinawatra is to be freed as part of a group of 930 elderly or unwell prisoners granted early release.

According to wire reports, Tawee said 74-year-old Thaksin could be released as early as this weekend.

Billionaire Thaksin (above, right), who was removed in a 2006 military coup, was jailed for eight years on graft and abuse of power charges in August, but within days, his sentence was reduced to one year by King Maha Vajiralongkorn.

"He is in the group where they are in a critical condition or aged over 70. He will be released after six months automatically," said Tawee.

Thaksin returned to Thailand after a 15-year exile when his Pheu Thai party returned to the government in coalition with pro-military parties.

This led to speculation that a reduction in his jail time had been brokered.

The exact details of his release are not clear, but he may be subject to monitoring and restrictions on his right to travel.