THE World Bank has slashed growth forecasts, warning that the global economy
could be thrown into a worse recession than it faced during the global
“While contained for the moment, the risk of
a much broader freezing up of capital markets and a global crisis similar in
magnitude to the Lehman crisis remains,'' it said. “The world could be
thrown into a recession as large or even larger than that of 2008-09.''
Acting Treasurer Bill Shorten said that the outlook for 2012 appeared even
more challenging than 2011. “There's no doubt we've got a tough year ahead
of us. There are huge challenges in the global economy and these will
inevitably impact on our economy and our budget,'' Mr Shorten said.
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