IMF warns G20 on cutting economic support too fast

ST ANDREWS, Scotland, Nov 6 (Reuters) - The global economic recovery is uneven and the timing of any exit strategies should err toward supporting demand, according to an International Monetary Fund paper prepared for the G20 and seen by Reuters.

In the document for a meeting of Group of 20 finance ministers and central bankers meeting in Scotland from Friday, the IMF noted that the global economy has returned to growth following dramatic declines.

"However, the pace of recovery is uneven, particularly in advanced economies, with consumer confidence remaining subdued, the waning of temporary fiscal measures such as the cash for clunkers programme in the U.S. and similar programmes elsewhere is slowing production," the paper said.

"This underscores the extent to which the improvement in demand is largely driven by policy stimulus, wuth a turn in the inventory cycle also playing a part."

(G20 newsroom)