Growing risk of another recession

We expect growth to be very low or negative in most advanced economies next year. The euro-zone is already heading for recession, and if its public debt and banking crisis is not contained, the rest of the developed world may follow suit. Emerging economies will also slow, but more gradually because they have lower debt ratios, are less vulnerable to a euro-zone crisis and have some room for policy stimulus – particularly as inflation is set to fall in 2012.