China and EU begin negotiations to outline world’s economic futureOctober 29, 2011 No Comments
MariaNews.com stumbled across the article below which describes how China and the EU are “negotiating” to decide the future of the global economy.. WHAT! Does anyone else have a problem with China dictating the future of the global economy? Post a comment or send us an email at firstname.lastname@example.org and tell us what you think.
Here is the story.
Beijing (AsiaNews / Agencies) – Optimistic and purposeful declarations, but nothing concrete, from yesterday’s meeting in Beijing between Klaus Regling, head of the European Financial Stability Facility (EFSF), with Chinese financial authorities. The two sides are trying to take full advantage of negotiations and reciprocal concessions that everyone expects, but any delay in decisions could depress stock markets.
Zhu Guangyao, Chinese Vice-Minister for Finance, said after the meeting that China needs more time to study the details of the EFSF program “before deciding on investment.” A legitimate request, since the “rescue” program was announced on October 27 after a night of negotiations and that Regling had announced that the arrangements for the purchase and management of EFSF securities have yet to be defined. One of the two solutions agreed to upgrade ‘ EFSF provides a new special fund open to investment from emerging economies and the IMF to buy bonds on secondary markets. But many hoped that Beijing would at least release a statement of willingness to finance the program. Instead, China has taken its time and Zhu also added that the purchase of European EFSF titles “should be” among the topics of the next G20 summit in France.
A signification stance, given that Cui Tiankai, Deputy Foreign Minister, said that the G20 should talk about stability of financial markets and the foreign debt crisis, the very problems that the EU wants to deal with the EFSF . Beijing appears to want to highlight Europe’s inability to solve the current problems by itself, to get the international recognition that for aid to these levels there must be adequate compensation, for example, with “a greater influence of emerging economies” in the IMF, as Cui also mentioned.
Tags: china, economic future, eu, european financial stability facilityFeatured Article, World News