About the differences between the projections, Holland said that UNDESA doesn't work with the IMF although they work from the same basic data and the variations may be because of the time period for the date used.

The report said that a cloud of uncertainty hung over the world economy. Faster than expected interest rate hikes by the US could set off capital outflows affecting emerging economies, it said.

Holland, however, said: "We don't see a downturn in the short term."

Heightened uncertainty over international policy could hinder a strong rebound in private investment globally, the update said.

Lenni Montiel, the Assistant Secretary-General for Economic Development, said in a statement there was a "need to reinvigorate global commitments to international policy coordination to achieve a balanced and sustained revival of global growth, ensuring that no regions are left behind."

On a positive note, the report said that global economic growth has strengthened in the last six months

"Helped by a moderate recovery in trade and investment, world gross product is expected to expand by 2.7 pct in 2017 and 2.9 pct in 2018," it said. "While this marks a notable acceleration compared to 2016, growth in many regions remains below the levels needed for rapid progress towards achieving the Sustainable Development Goals" set by the UN for eradicating poverty."

China has the second highest projected growth rate of 6.5 pct for this year and the next. East African region follows with a 6.5 pct estimate for next year.

The US growth rate is projected to be flat at 2.1 pct this next year and the next, up from 1.6 pct last year. The European Union estimates are 1.7 pct this year and the next, down from last year's 1.9 pct.

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