In its latest World Economic Outlook, the International Monetary Fund (IMF), has upgraded its growth forecast for the global economy to 3.9 per cent in 2010 from the October 2009 estimate of 3.1 per cent, but maintains that recovery is still "fragile." (See: IMF raises global growth forecast to 3.1 per cent in 2010)
IMF has forecast a 4.3 per cent growth in 2011.
The Fund's forecastt is more optimistic that of the World Bank, which In its report Global Economic Prospects 2010 released on 21 January predicted 2.7 per cent world economic growth in 2010, and 3.2 per cent for 2011.(See: Global economy to grow at 2.7 per cent this year, predicts World Bank)
IMF had indicated earlier this month that global economic recovery projections would be revised on positive cues. (See: IMF to revise global economy recovery projections on positive cues)
IMF said, "The global recovery is happening at different speed, strongly in emerging markets, led by Asia, however advanced economies are still sluggish and are dependent on government stimulus measures."
IMF chief economist Olivier Blanchard said in an IMF video interview, ''For the moment, the recovery is very much based on policy decisions and policy actions. The question is when does private demand come and take over. Right now it's ok, but a year down the line, it will be a big question.''