As stimulus fades, economies will face an up-hill battle

From AP:

SHANGHAI - The global economy will suffer the fallout from the financial crisis for years to come, the World Bank said Thursday in a report warning that growth may wilt later this year as stimulus spending fades.

There is optimism that we will se some economic growth this year, but no guarantees.  As the credit crisis gathers steam and home forclosure continuing, there is plenty of concrete bad news to go along with any uplifting forecasts we get.  Banks are not loosening the purse strings on lending and are following a government mandated forclosure policy, and neither of these are good portents of things to come.