The threat for world economy growth from oil prices grew - IMF

/REUTERS, Washington, September 22, 05/ - Growth of oil prices becomes a bigger threat for the world economic growth, Raguram Rajan the chief economist of International monetary fund said on Wednesday. "Influence of offer upon price formation becomes stronger, and this may make a decelerating effect upon the world economy development, - Rajan said. - We have come to the boundary, after which stable growth of oil prices will be more and more considerable". He says when growth of oil prices has been provoked by demand, it evidences about the strong economic growth. On the contrary, growth of prices caused by offer volume was caused by such the fundamental indicators as interruptions in supplies or fears concerning appearance of deficit. Rajan says as prices will grow up consumers will worry about negative influence upon trust and growht. Rita hurricane grows stronger in the USA and threatens to damage 18 petroleum refineries situated in Texas, total output of which is 4 million barrels per 24 hours, or 23% of all PRs' output, Energy information department said on Wednesday. [2005-09-22]