World growth in 2005 could be below 4.3%: IMF

World growth could be lower than the 4.3% forecast by IMF a month ago because of high oil prices, its dy MD Agustin Carstens said.

World growth in 2005 could be lower than the 4.3 per cent forecast by the International Monetary Fund (IMF) a month ago because of high oil prices, its deputy managing director Agustin Carstens said on Monday.

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Last month, the IMF downgraded its 2005 outlook to 4.3 per cent from an April forecast of 4.4 per cent.

"Given the most recent developments in the oil price we think that we might have an even lower growth rate," Carstens said in a speech to a conference on Latin America in Madrid.

"We are not yet in a position to revise that growth down, but the risk has grown," Carstens added.

He spoke as oil scaled another record high above $55 a barrel on Monday. A threat by Norwegian oil and gas employers to halt production in a bid to end a conflict with striking rig workers in the world's third biggest exporting nation further stoked fears of a supply crunch this winter.

In Beirut earlier on Monday, IMF managing director Rodrigo Rato said oil consuming countries must examine their energy policies because they are unlikely to see significant falls in the cost of crude oil soon.

"There is going to be some clear impact in developing and developed economies from the very quick increase in oil prices," Rato said.