The head of the International Monetary Fund has warned about the risks to global economic recovery of deflation.
Christine Lagarde said "optimism is in the air" about growth, but the recovery is still fragile, the BBC reports.
Christine Lagarde. Photo: AFP
Ms Lagarde also warned about the volatility that could accompany the US Federal Reserve's gradual withdrawal of monetary stimulus.
Earlier, the World Bank said high-income countries appear to be finally turning the corner, five years after the global financial crisis.
The bank forecasts global GDP will grow by 3.2% this year, up from 2.4% in 2013, with much of the pick-up coming from developed economies.
Developing nations will grow by 5.3% this year, up from 4.8% in 2013.
It is predicting 2.2% growth this for high-income countries, up from 1.3% last year, and 5.3% growth in developing countries.
