The Organization for Economic Co-operation and Development (OECD) says growth and recovery are expected in 2010 in just about all world regions.

For its 30 member countries, rich nations including the US and UK, it has more than doubled its growth forecast to 1.9% for next year, from 0.7%. But the OECD warns developed nations not to expect a smooth ride.

It said growth was being "held back by still substantial headwinds" and would be "modest" for some time.

Jobless recovery?

The main danger for rich countries is unemployment, according to the OECD's economic outlook. In the US, people are expected to continue to lose their jobs at a faster rate than new ones are created until sometime in the first part of next year.

For the European Union, the picture is even worse. Unemployment may continue to rise in that region until 2011.

A very different economic outlook is forecast for key emerging nations. China can expect to grow by 10%, India by more than 7%.

The other two stand-out nations are Brazil and Russia. The OECD expects Brazil's economy to rebound and expand by almost 5% after stagnating this year.

Russia is also predicted to see that kind of economic improvement next year. But its turnaround will be even more dramatic. This year, it has experienced one of the worst economic slumps in the world, contracting by almost 9%. (Source: BBC)

Story Date: September 2, 2010