Warns of threats ranging from heightened political tensions in the Middle East to US-China preventing their trade war from escalating.
Managing director Kristalina Georgieva blames rising trade conflicts that could mean a loss of around 0.8% of world GDP.
Meanwhile Canadian, European, Indian leaders champion free trade.
Projects Canada’s economy will grow 2.3% this year, up from 2.1% in October.
Eight per cent this year led by “massive gains” in the commodity space, and 4% next year.
China’s resilience, rising commodity prices, and sturdy financial markets provide sunnier outlook.
Trashing of trade agreements leave many uncertain about the direction of the world’s biggest economy and market.
Those focused on services, higher technology and value-added products will likely find success in a more-open trading environment.
Only the US and Britain are growing at decent rates.
The global economy will grow by 3.4% this year, down from a forecast of 3.6% growth last November, the think-tank says.
Improved confidence means companies are planning on pursuing more M&A activity in the next 12 months, survey suggests.
Changing fortunes of the US economy and the loonie will act as catalysts.
Protracted economic weakness in Europe could evolve into stagnation with negative implications for the global economy.
Lagarde warns about the dangers of overemphasizing deficit reduction.
Canadian growth lagging behind several G7 countries, including the US, Japan Germany.