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IMF Predicts Global Growth of 5.1% in 2006, 4th Year of Expansion


The International Monetary Fund says the world economy will enjoy strong growth in 2006, marking the fourth consecutive year of expansion.

The I.M.F. released its twice-yearly report on the global economy today at a joint meeting with the World Bank in Singapore.

The lending agency predicts the world economy will grow 5.1 % this year and 4.9 % in 2007. Both forecasts are slightly higher than previous estimates in April.

But, the I.M.F. also warns of several economic threats, such as rising inflation, increasing oil prices, and a slowing of the U.S. housing market.

The report estimates the U.S. economy will slow from 3.4% growth this year, to a rate of 2.9% next year.

Meanwhile, the World Bank says Singapore's government may have violated an agreement by barring 28 foreign activists from entering the country to attend today's meeting.

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