The global financial crisis will spill over to 2009 extending the recession in the world's most developed nations.
Economic activity is expected to fall by 0.9 per cent in the US next year, by 0.5 per cent in the Euro area and by 0.1 per cent in Japan as OECD countries enter a protracted slowdown, says the Organization for Economic Cooperation and Development.
The developed countries will see a fall in the GDP for at least three quarters. The GDP for the OECD countries as a whole is expected to fall 0.3 per cent year-on-year in 2009 before recovering slightly to grow by 1.5 per cent in 2010.
The average unemployment rate in the OECD area, estimated at 5.9 per cent this year, is forecast to rise to 6.9 per cent next year and reach 7.2 per cent in 2010.
Check out how the recession has hit economies across the globe...
Image: A trader talks on his cell phone outside the New York Stock Exchange. | Photograph: Don Emmert/AFP/Getty Images
Also read: How America can return to prosperity
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