Global growth to slump to 60-year low in 2009: IMF

The International Monetary Fund (IMF) said on Wednesday that it expected world growth to fall to 0.5% this year, its lowest rate since World War II.

The Fund said: "Despite wide-ranging policy actions, financial strains remain acute, pulling down the real economy. A sustained economic recovery will not be possible until the financial sector's functionality is restored and credit markets are unclogged."

The IMF was already forecasting a contraction in the major industrial economies. It is now