PARIS: The global economy is only gradually picking up momentum as stagnation in the euro zone and growing weakness in some big emerging economies weighs on the US led recovery, the OECD said on Thursday.
With the euro zone a stubborn weak spot in the global economy, the OECD called on the European Central Bank to live up to a promise "to do what ever it takes" to revive its economy and begin purchasing government bonds.
The ECB holds its latest policy-setting meeting on Thursday.
The Paris-based Organisation for Economic Cooperation and Development updated its outlook ahead of a summit next week in Australia of leaders from the Group of 20 economic powers. It is to provide a more complete outlook and analysis on Nov. 25.
Marginally trimming estimates dating from May, the OECD forecast that the world economic growth would accelerate from growth of 3.3 percent this year to 3.7 percent next year and 3.9 percent in 2016.
"The global economy is continuing to run in low gear," the OECD`s new chief economist, Catherine Mann of the United States, told Reuters in an interview.
"Even though we are looking at global growth to increase up to 3.9 percent by the end of 2016, that still leaves us about a half a percentage point below our historical experience."
The OECD forecast the U.S. economy would see growth speed up from 2.2 percent this year to 3.1 percent next year as an improving job market gives private spending a boost.
Firming U.S. growth warranted a gradual increase in the Federal Reserve`s interest rates from the middle of next year, the OECD said, warning however that hikes could trigger turbulence in emerging markets.
