Global economy at turning point - World Bank

The global economy is at a "turning point", World Bank sources said, as it forecasts stronger growth for 2014.

Its annual report on the world economy said richer countries appeared to be "finally turning a corner" after the financial crisis.

That is expected to support stronger growth in developing economies. But it warned growth prospects "remained vulnerable" to the impact of the withdrawal of economic stimulus measures in the US.

The US Federal Reserve has already begun to wind down its monthly bond-buying program, previously set at $85 billion (£52 billion) a month.

There is concern this could push up global interest rates and lead to more volatile international financial markets. "Growth appears to be strengthening in high-income and developing countries, but downside risks continue to threaten the global economic recovery," said World Bank Group President Jim Yong Kim.

"The performance of advanced economies is gaining momentum and this should support stronger growth in developing countries in the months ahead.

Still, to accelerate poverty reduction, developing nations will need to adopt structural reforms that promote job creation, strengthen financial systems, and shore up social safety nets."

The bank forecasts that 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.

BBC