Thai contraction 'possible' if global slide worsens.

Byline: The Nation.

Thailand could face an economic contraction this year if the global economy slides into a deep recession, according to the Bank of Thailand.

The central bank has revised its forecast 2009 growth in gross domestic product to 0-2 per cent from 0.5-2.5 per cent.

The economy could register a year-on-year contraction for three consecutive quarters - beginning from the final quarter of last year - and negative growth in headline inflation for three straight quarters, it said. Given the weakened state of the global economy, growth in Thai exports of goods and services could also fall beyond the baseline scenario of minus 5.5 per cent to …