China’s time is now. We’ve all been saying it for ages, but their time really is now. A report from Bloomberg doesn’t beat around the bush: “China is willing to buy bonds from nations involved in the sovereign debt crisis.” They already own millions of hectares of land right here in Africa, but now they want to invest.
National Development and Reform Commission Vice Chairman, Zhang Xiaoqiang, said in an interview yesterday that China is actively allocating foreign reserves via commercial banks to support domestic companies by going abroad with their investments.
Zhang continued that he’d very much like for countries like the US to become more open to investment by Chinese companies, which will in turn help to create local jobs back home in China.
We saw this in Zimbabwe earlier this year, with a rough estimate of $700 million being pumped into Zimbabwe by China.
The millions of hectares of land already owned by China in Africa will be utilised to meet the food security needs of a colossal Chinese population.
Strategic shipping port buys were also made when the Chinese snapped up Greece’s premier port of Piraeus. Convenient.
You might also recall a report on 2oceansVibe earlier in the week revealing that China and Italy were in discussions over “significant” purchases of Italian bonds and investments in strategic companies. Silvio Berlusconi will be laughing all the way to the bank.
Wine experts point out that the Chinese are even growing their own vineyards for large-scale wine cultivation and export.
Zhang also said that a double-dip recession internationally is “avoidable” if the global community increases coordination and efforts and adopts “appropriate” measures. Read: let China in.
Of course, China will also use foreign reserves to secure important commodities or find resource assets overseas, like gold.
I’m quite sure they’d love it if the world reverted to the gold standard as opposed to the dollar.
The world is simply becoming more and more dependent on one of the most determined nations in the world.
[Sources: Bloomberg, 2oceansVibe]
[imagesource:flickr] SA's hottest chilli festival is geared up to get tongues burning t...
[imagesource:skinkraft] If you're struggling with scarring, acne scarring, or deep wrin...
[imagesource:wallpaperflair] I speak from experience when I say the hours before a prop...
[imagesource:instagram/trevornoah] Son of Patricia and our favourite comedic export, Tr...
[imagesource:flickr] We might have taken a few digs at the vegans this week, but surely...