1985 developing countries are expected to pay about $?0 billion in interest uhile experiencing a combined current account deficit of $40 billion. This can only be done by generating increased trade surpluses which, if the recovery is thr4,arted' it will be difficult or i.mpossible to do by expanding exports or cutting imports. There are already indications tbat surpl-uses attained by some of the large debtors in the developing sorld in 1984 will shrink during 1985. l'loreover, ba Ia nce-of-paymenes difficulties are severe in many developing countri.es chat are not big debtors but that depend on commodi.ty exports and have not shared in the United states recovery because their exports are principally directed to European marl(ets.A/40 /7 08 English Paqe I 25. The sharp curtailment of imports in developing countries bas had adeflationary impact on industrial countries. Exporls from Organisation for Economic co-operacion and Development (oEcD) countries to developing countries werealmost $50 billion louer (at an annuat rate) in 1984 than in l9g0-198r. Accordingto ulilcrAD estinates in the "Trade and developmenc report, l9g5,r this reductionwourd account for a loss of close to 7 million work-years in oEcD Europe and closeto I million in North America. Rising unemployment rn turn has contributed to newrestrictions on exports from developing countries, especially in manufactures whereabouc two thirds of such exports are subject !o non-tariff barriers of one kind oranother.
**Analysis**
The text discusses the economic situation of developing countries, specifically their debt, trade deficits, and the impact of these issues on their economies and the economies of industrialized countries. It also touches on the topic of employment and unemployment. Given the focus on economic issues and international trade, I believe that the text is most closely related to the categories related to economic development and international trade.

**Category**
International trade, Economic development