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World Bank and IMF economic optimism comes with caveats Add to ...

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The global economic outlook is looking a shade brighter to the crystal-ball gazers at the World Bank and the International Monetary Fund, now that the U.S. recovery seems intact and the ailing euro zone is finally out of intensive care. But there are plenty of “ifs” attached to this optimism, starting with the possible actions of major central banks, the spectre of deflation in the developed economies, reduced capital flows to emerging markets and the risks these could pose to a world economy that remains extraordinarily vulnerable to a relapse.

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