In a review of the US economy, IMF directors said US leadership remains "key" to unblocking and concluding the World Trade Organisation's troubled "Doha Round" of talks.

"At the same time, most directors cautioned that care would be needed to resist domestic protectionist sentiment and to ensure that bilateral trade initiatives complement rather than substitute multilateral approaches," the review said.

The Doha Round is on life support after a meeting of six key players including the United States and the European Union collapsed in acrimony this week, largely because of disputes over farm payments.

President George W. Bush said Thursday the United States remained committed to a balanced WTO pact that opens up foreign markets in return for cuts to US farm subsidies.

But at the same time, US trade officials say they will continue to pursue more limited free-trade agreements. The United States is now in FTA talks with Malaysia and South Korea, which are among its top 10 trading partners.