The IMF or International Monetary Fund has revised up their forecasts for world economic output despite record oil prices and natural disasters - the best groth in three decades. Global economy expected to achieve a growth rate of 4.9%, 0.6% higher than previous growth estimates. Predictions for the global growth in 2007 was also boosted to 4.7%, higer by 0.3%. Australia's economy is pegged to grow 2.9% in 2006 and 3.2% in 2007. This World Economic Outlook is releases twice a year in Washington.

This is the strongest growth spurt in three decades - since the 1970s in fact. While in the 1970s we had oil prices pushed higher due to supply woes, this time prices are being driven higher due to increasing demand. "Notwithstanding higher oil prices and natural disasters, global growth has continued to exceed expectations, aided by benign financial market conditions," the IMF said.