GENEVA, July 1 (Reuters) - Governments are continuing to restrict unfairly and distort commerce in response to the global economic downturn, the head of the World Trade Organisation said in a report obtained by Reuters on Wednesday.
"In the past three months there has been further slippage towards more trade restricting and distorting policies, but resort to high-intensity protectionist measures has been contained overall," Pascal Lamy's report to WTO members read.
Lamy described the global economic situation as "fragile" but said prospects could quickly improve. "There is a possibility that even a small recovery in global demand will be associated with a much larger increase in trade," he said. (Reporting by Laura MacInnis, editing by Tim Pearce)