Geithner and Darling see near-term growth

By Glenn Somerville and Matt Falloon

LONDON (Reuters) - There is a strong chance the United States and other leading economies will start growing again over the next few quarters, but big risks to the outlook remain, U.S. Treasury Secretary Timothy Geithner said on Monday.

Geithner, speaking after talks with British policymakers including Prime Minister Gordon Brown and Chancellor Alistair Darling, said support measures were starting to take effect and establish a "better basis for recovery."

"In my view, there are still significant risks and challenges ahead," Geithner said at a press conference with Darling when asked if he was concerned about the possibility of a double-dip recession.

"We have a very powerful set of policies in place, coming on stream. I think there is a very good chance we will see the U.S. economy and the world economy get back to recovery, get growing again, over the next few quarters."

Darling reiterated his budget forecast for a return to growth in Britain by the end of the year, but was also cautious and eager to look forward to the next round of G20 meetings as a chance to agree on measures to consolidate recovery.

"We are making progress, we are coming through," he said. "But there's a lot of uncertainty in the world and part of the G20 process will be in dealing with that."

G20 PROCESS

Policymakers from the world's most prominent developed and developing nations will meet in the next few months to check on the progress of, and build on, agreements made at the last G20 summit in London in April.