IMF World Economic Outlook forecasts global growth at 3.6% in 2014, 3.9% in 2015 up from 3.0% in 2013

The IMF forecasts global growth to average 3.6 percent in 2014―up from 3 percent in 2013―and to rise to 3.9 percent in 2015.

The global recovery is becoming broader, but the changing external environment poses new challenges to emerging market and developing economies, says the IMF’s latest World Economic Outlook (WEO).

“The recovery which was starting to take hold in October is becoming not only stronger, but also broader,” said IMF Chief Economist Olivier Blanchard. “Although we are far short of a full recovery, the normalization of monetary policy—both conventional and unconventional—is now on the agenda.”

Blanchard cautioned, however, that while acute risks have decreased, risks have not disappeared.

In this setting, the global economy is still fragile despite improved prospects, and important risks—both old and new—remain. Risks identified previously include finishing the financial sector reform agenda, high debt levels in many countries, stubbornly high unemployment, and concerns about emerging markets.

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