China is concerned about their investments in U.S. debt securities. The statement was made by Prime Minister Wen Jiabao of China, sends Agency France Presse.
"We have to lend the U.S. a huge amount of money. Of course, we are concerned about the safety of our assets," - said Jiabao. He also urged the U.S. government to ensure investments of China, fulfilling its obligation to the borrower.
China has the world's largest foreign currency reserves, which at the end of December stood at 1.95 trillion dollars. These funds are administered by the State Administration of China on Currency Control (SAFE). In the Ministry of Finance bonds China holds U.S. 727.4 billion, surpassing Japan for this indicator, which Washington owes 626 billion dollars.
The Government of China in recent attempts to increase the return on its reserves, so trying to find a new investment strategy. In particular, in early 2009, the Chinese delegation visited the UK for this purpose.
It should be noted that in early 2009, U.S. Secretary of State, Hillary Clinton urged China to continue to buy U.S. treasury bonds. In doing so, she said that these investments are safe because the U.S. has a well-deserved financial reputation.
Jiabao also said that Beijing would be difficult to ensure the country's GDP growth at 8 per cent, as promised earlier. However, Prime has assured that the Government was ready to continue to stimulate the economy of China, if the need arises.
Recall that in March 2009, Wen Jiabao said the country's economy in 2009 will grow by eight per cent despite the global financial and economic crisis. For comparison, in 2007 the economy grew by 13 percent. In order to maintain high growth rates the country's GDP, the Chinese Government in November 2008 announced a plan to stimulate the economy, for which it was planned to allocate 585 billion dollars.
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