The World Bank warned on Monday that the prospects for the global economy remained 'unusually uncertain' despite recent signs of improvement in parts of the world and cut its 2009 growth forecasts for most economies.
The World Bank, which has recently cut its forecast for the global economy to a contraction of 2.9 per cent from a projection for a 1.7 per cent decline set in March, released details on individual economies for the first time on Monday.
It also called on the governments around the world for 'vigilance' in drawing up exit strategy to reverse the recently expansionary monetary and fiscal policy once the world economy takes off for recovery.
The bank said in a Global Development Finance report released on the sidelines of an international conference in Seoul that the unprecedented expansionary policy could result in heavy adverse effects on the future policy if maintained after the recovery.
Following are the World Bank's revised gross domestic product forecasts for 2009 and 2010 for major economies. (Per cent change in calendar 2009 over a year earlier unless stated.
revised prev revised prev
World -2.9 -1.7 2.0 2.3
Euro Area -4.5 -2.7 0.5 0.9
Japan -6.8 -5.3 1.0 1.5
United States -3.0 -2.4 1.8 2.0
*China 7.2 6.5 7.7 7.5
Russia -7.5 -4.5 2.5 0.0
Brazil -1.1 0.5 2.5 3.2
^India 5.1 4.0 8.0 7.0
* Updated forecasts for China were first released on June 18
^ Forecasts on a fiscal year basis