China being “an important engine” for the world economy
US Treasury Secretary Henry Paulson has praised China for its “constructive” role in coping with the global financial crisis and said Beijing will continue to be “an important engine” for the world economy. He mentioned on Tuesday that the important role of China to support the world economy should be recognized by the next US president and the world is depending on more contributions from China. However, many economists have cautioned China in purchasing overseas financial assets because of their uncertainty.
Besides quoted Wen Jiabao’s earlier statement of China’s role in dealing with global financial crisis during the annual meeting of the US-China Relations National Committee in New York, Paulson also stressed the importance of closer international relationship as the financial crisis continues spreading its impact.
Paulson have stayed in close touch with Vice-Premier Wang Qishan ever since the crisis began. Mentioning his talk with Wang, he said, “Our conversations have been useful and constructive. It’s clear China accepts its responsibility as a major world economy that will work with the US and other partners to ensure global economic stability.”
According to media reports, Washington has urged Beijing to buy more US treasury debts and other financial assets to help stabilize its market. This is where the economists have cautioned China. Ha Jiming, chief economist of China International Capital Corporation, said in the Chinese Economists 50 forum that Chinese people are not as knowledgeable as the Americans in this respect, it’s too early for China to take the risk. Cao Yuanzheng, chief economist of Bank of China International Holdings, also reminded Chinese investors to be cautious when buying US Financial assets.
Although many worries from economists that crisis would hinder China from further carrying its financial reforms, Paulson said it is a great opportunity for China to learn from the mistakes of the US and could gain benefits from the potential of moving forward the reforms.
Having highlighted the China-US Strategic Economic Dialogue (SED) which was initiated by President Hu Jintao and his US counterpart George W. Bush in 2006, Paulson said: “Our recent close… communication and cooperation as we address the challenges in the financial market are a tangible example of the power and utility of an SED based on mutual trust.”
Are you interested in the business opportunities in China?
China is one of the world’s great growth markets and is likely to be for many years to come. Foreign companies often face difficulties in assessing Chinese market demand and enacting effective strategies because of the language barriers, culture differences, and high expense.
BPOVIA is the leading virtual assistant and Knowledge process outsourcing (KPO) service provider in China. BPOVIA is the only virtual assistant company ever been nominated for the prestigious “Red Herring 100 Asia” Awards 2008. Combines international perspective with local know-how, BPOVIA can provide our clients China business development service and help our clients doing successful business in China.
Please visit http://www.BPOVIA.com/ for details about our service.
Popularity: 2% [?]