‘Joining the queue at the Beijing ATM’ is how the Financial Times is describing it. The rude health of China’s public finances has come into stark contrast this week, as a European government struggles to raise funds on the capital markets. The British newspaper reported on Wednesday that Athens is negotiating with Beijing to sell up to $35 billion of bonds needed to fund Greece’s soaring public debt. Greek finance minister, George Papaconstinou told the FT that he would visit China next month on a debt roadshow. No doubt he has an eye on China’s $2.4 trillion forex reserves. There is even talk of a sale of equity in the country’s flagship lender National Bank of Greece to a Chinese bank.
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