The Financial Crisis, Capital Flows, and Global Liquidity Keynote Speech by Naoyuki Shinohara, Deputy Managing Director, International Monetary Fund, Bank of Korea International Conference 2013. Seoul, Korea, June 3, 2013:  “The latest IMF forecasts show that the world economy is strengthening. But this is happening only little by little. World growth is expected to reach 3.3 percent in 2013, improving slightly to 4 percent in 2014. However, data for the first quarter of 2013 suggest a softer pace of real activity, underscoring the downside risks for global growth. For instance, activity in Europe shrunk more than expected, and persistent weakness in the periphery and policy uncertainty is increasingly affecting confidence in the core; China reported sluggish activity in the first quarter; and investment in India, Russia, and South Africa continues to be sluggish.”