UNITED NATIONS - Large economies in developing countries mainly China, Brazil and India continue to lead the global recovery, amid weaker performances in relatively richer nations, where concerns over huge public debt have led to austerity measures that have dampened growth prospects, according to a new UN report. The mid-year issue of the World Economic Situation and Prospects (WESP), released today, points out that the outlook for growth is moderating in even the biggest economies in Asia and Latin America because of several increasingly pressing concerns. Those concerns include rising inflation, emerging domestic asset price bubbles, and upward pressure on exchange rates, fuelled in part by large capital inflows. The world gross product (WGP) is expected to grow by 3.3 per cent this year and 3.6 per cent in 2012, only a slight upward adjustment from the forecasts released in the WESP 2011 at the beginning of the year. Unemployment in developed economies fell in some countries, but the number of people out of work for six months or longer continues to rise, according to the report, prepared by the UN Department of Economic and Social Affairs (DESA), UN Conference for Trade and Development (UNCTAD), and the five UN regional social and economic commissions. Unemployment also fell as a result of many jobless persons stopping their search for work, the report notes. Among the economies in transition, employment improved in the Commonwealth of Independent States (CIS), but remained weak in South-Eastern Europe. Employment levels generally have returned to above pre-crisis levels in developing countries, especially in East Asia, according to the report. At current levels of economic growth, it would four to five years before employment rates revert to pre-crisis levels in developed countries, according to the report. The devastating earthquake and tsunami and subsequent nuclear crisis in Japan in March shook world financial markets and disrupted important global supply chains, while the recent political unrest in the Middle East and North Africa has led to a surge in oil prices. Global prices of food and other primary commodities have also soared. The report warns that global recovery is still fragile and could suffer setbacks if public debt problems and continued financial sector fragility in developed economies are not adequately addressed and global commodity prices continue to surge, triggering further belt-tightening.