The IMF has urged leading powers to step up growth and reforms to generate jobs, warning that confidence in the global economy was in short supply.
It also warned emerging and smaller economies to shore up their financial defences as leading economies charge up growth with extraordinary monetary stimulus and low interest rates.
International Monetary Fund managing director Christine Lagarde urged Europe, the US and Japan to act more resolutely to build up confidence in a future of sustainable growth.
"The global economy has avoided the worst, but it is by no means out of the woods and prospects may be diverging," Lagarde warned.
In a "report card" on progress in the past year, she said major calamities, like the fracture of the euro zone, had been averted.
But Lagarde said US public finances remained "unsustainable" and warned that in Japan, which has one of the world's largest debt loads, short-term fiscal stimulus was heightening risks to state finances.
On Europe, Lagarde warned: "The euro area has the clearest need to balance supporting growth with needed reform."