The world economy will not expand at the rate of 2006, but will continue to clear up in 2007 and 2008, owing to dynamism in Europe and Asia, according to the biannual report published Thursday by the Organization for Economic Cooperation and Development (OECD).

For OECD countries, their gross domestic product (GDP) will grow at 2.7 percent in 2007, compared with 3.2 percent last year. This forecast represents an upward revision compared with the organization's estimate of 2.5 percent at the end of November 2006.

The organization is expecting the GDP of the United States to grow by 2.1 percent this year and 2.5 percent in 2008, much less compared with 3.3 percent in 2006 and OECD's forecasts at the end of November 2006. On the other hand, Japan is expected to record significant growth in 2007, with 2.4 percent against 2.2 percent in 2006.

According to the OECD, emerging markets will continue play the principal role of spurring economic growth in the world, with growth of more than 10 percent in China and more than 9 percent in India in 2006 as well as rapid GDP growth rate in Asia generally. With more than 7 percent, economic growth in Russia and also Brazil will continue to accelerate.

The growth of the world trade will slow down to 7.5 percent in 2007 and 8.3 percent in 2008, against 9.6 percent in 2006, according to the report.

Source: Xinhua