HEILIGENDAMM, Germany, June 7 (Xinhua) -- Leaders from the Group of Eight (G8) major industrialized nations appeared upbeat about the world economy as they gathered for their annual summit on Thursday.

    "We note that the world economy is in good condition," the G8 leaders said in a statement after they held their second-day meeting in Germany's Baltic sea resort of Heiligendamm.

    "Growth is now more balanced across regions, as it has moderated to a more sustainable pace in the United States, while domestic demand has strengthened in Europe and remains supported by robust investment in Japan," the statement said.

    The United States, the world's largest economy, is targeting the elimination of its federal budget deficit by 2012, which has lent support to its national savings.

    Robert Kimmitt, Deputy U.S. Treasury Secretary, said last monththat the U.S. economy is "making the transition to a sustainable growth path."

    The European Union, which comprises four G8 members, last year registered the best performance since the turn of this century, thanks to strong domestic demands and exports. And the positive trend is set to continue in the following years.

    As to Japan, another economic powerhouse, strenuous reform efforts and fiscal consolidation has helped the economy on the upswing.

    The G8 comprises the United States, Britain, Germany, France, Italy, Japan, Canada and Russia. Altogether, the eight industrialized countries account for 63 percent of world gross domestic product (GDP) and 50 percent of worldwide trade in goods.

    The G8 leaders kicked off their three-day summit on Wednesday. Under the theme of growth and responsibility, economic issues took center stage as the talks entered the second day.