Economic Survey 2006

Leading economic indicators point to sustained growth momentum in 2006 2007 with the global GDP approaching its potential. The current positive outlook, however, is clouded with considerable risks stemming from energy prices and the current account imbalances. The expected future tightness in the market is anticipated to account for the continued growth in the petroleum prices. These expectations are based on forecasts of continued robust global expansion, low spare capacity among OPEC producers and fears that the recent slowdown in the non-OPEC production may persist.