IMF's Krueger - World economy near turning point

UK - The world economy is at or near a turning point, which makes it difficult for central banks to make the right decisions on interest rates, International Monetary Fund First Deputy Managing Director Anne Krueger said Monday.

Speaking at the Royal Institute of International Affairs, Krueger said the European Central Bank had reacted "appropriately" to the economic slowdown in 2001.

But she added that with the world economy close to or in recovery, the central bank must remain "watchful" and