WTO chief sees no positive signs for world trade

World Trade Organisation head Pascal Lamy said yesterday he saw no "positive sign" for world trade which has been battered by the global economic crisis.

"I do not share the optimism of some governments for an economic recovery because from the point of view of international trade, I do not see any positive sign at the moment," Mr Lamy said during a debate in Paris.

He reiterated the WTO's forecast of a nine per cent drop in world trade this year, "unprecedented since the last world war".

"There is nothing to say that we are not still deep in this crisis which has begun and will continue," he said, warning that developing countries in particular would face "social consequences".

The World Bank said on Thursday the global economy was set to contract some three per cent this year, sharper than previously estimated, and urged more aid for developing countries.