The United States is unlikely to suffer a double-dip recession, while China is streaks ahead in its recovery after the economic downturn, Australia's central bank says.
Reserve Bank deputy governor Ric Battellino says double-dip recessions are rare and the US is holding its head above water.
But there's no guarantee the US economy won't slide again.
"It's impossible to say - double dips are very rare," Dr Battellino told a business lunch in Brisbane on Friday.
"They've had a very severe recession in the US. The household finances are in terrible shape.
"I think in recent weeks, US data has been looking brighter again, so I'm hopeful the recovery continues."
Meanwhile, China continued strongly after taking a hit and long-term prospects were looking good, he said.
"I think in the long term you've got to be optimistic about China," he said.
"There's going to be a lot more growth in China over the next 10 or 20 years."
But Dr Battellino warned China would be susceptible to traditional economic ups and downs.
"For the moment they're fine. But there will be economic cycles in China like every other country," he said.
