Thai economic outlook highly uncertain, risks tilted to downside

BANGKOK, Oct 14 (Reuters) - Thailand’s economic outlook remains highly uncertain with risks tilted to the downside due to the coronavirus pandemic, the central bank said on Wednesday.

An economic recovery will take least two years to return to pre-pandemic levels and will be uneven, the Bank of Thailand said in a statement at an analysts’ meeting.

The BOT will preserve limited policy room for the most effective time and is ready to use additional appropriate policy tools as necessary, it said.

The central bank has forecast the economy will contract by a record 7.8% this year before growing 3.6% next year.

The policy rate is at a record low of 0.50% after three cuts earlier this year.

Reporting by Satawasin Staporncharnchai; Writing by Orathai Sriring; Editing by Ed Davies