Chinese Political Advisors Propose Speeding Up Reforms To Make Yuan An International

[hugolp]

http://www.marketskeptics.com/2009/0...s-propose.html

That means using the Chinese currency to settle international trade payments, allowing the yuan freely convertible on the capital account and making it an international reserve currency, he said.

China has announced trial programs to settle trade in the yuan, a move analysts say will facilitate foreign trade as Chinese exporters might face losses if they continue to be paid in the U.S. dollar. [The only reason “Chinese exporters might face losses if they continue to be paid in the U.S. dollar” is if Chinese officials intend to drop dollar peg and appreciate the yuan. If China intends to devalue the yuan like some (Mish) have suggested, then encouraging exporters to switch to yuan makes no sense.] The dollar's exchange rate has become more volatile since the global financial crisis.


Hugo

[hugolp]

http://news.xinhuanet.com/english/20...t_10965642.htm

Anyone thinking that the chinese are not dumping its dollars its kiddint him/herself.


China sends another delegation to Europe for investment

·Another Chinese business delegation left for four European countries Saturday.
·The delegation are heading for Germany, Switzerland, Spain and Britain.
·The move follows purchases in Europe by a Chinese procurement delegation in late February.

BEIJING, March 7 (Xinhua) -- Another Chinese delegation of businesses and industry leaders, led by the Ministry of Commerce (MOC), left for four European countries Saturday for investment and economic cooperation, the MOC said.

The business delegation, following purchases totaled more than 10 billion U.S. dollars in Europe by a Chinese procurement delegation in late February, are heading for the same destinations of Germany, Switzerland, Spain and Britain.

The new delegation will explore investment opportunities on areas of automobile, machinery, textile, food, electronics and technologies relating to energy saving and environment protection.

An MOC official said "the move would further strengthen cooperation between Chin and Europe and create a win-win result in tackling the global economic downturn."

The delegation are composed of more than 20 top Chinese companies, as well as several national trade associations and government officials.