Tuesday, September 22, 2009

RealityZone; A New Era: PBOC’s Hu Proposes Multinational Fund, Warns on Further Crises

RealityZone; A New Era: PBOC’s Hu Proposes Multinational Fund, Warns on Further Crises

1 comment:

  1. Uneasy Engagement - China Spreads Aid in Africa, With a Catch - Series - NYTimes.com

    WINDHOEK, Namibia — It is not every day that global leaders set foot in this southern African nation of gravel roads, towering sand dunes and a mere two million people. So when President Hu Jintao of China touched down here in February 2007 with a 130-person delegation in tow, it clearly was not just a courtesy call. And in fact, China soon granted Namibia a big low-interest loan, which Namibia tapped to buy $55.3 million worth of Chinese-made cargo scanners to deter smugglers. It was a neat illustration, Chinese officials said, of how doing good in Namibia could do well for China, too.

    Or so it seemed until Namibia charged that the state-controlled company selected by China to provide the scanners — a company until recently run by President Hu’s son — had facilitated the deal with millions of dollars in illegal kickbacks.

    From Pakistan to Angola to Kyrgyzstan, China is using its enormous pool of foreign currency savings to cement diplomatic alliances, secure access to natural resources and drum up business for its flagship companies. Foreign aid — typically cut-rate loans, sometimes bundled with more commercial lines of credit — is central to this effort.


    other aticles in the series:

    Uneasy Engagement: China and India Dispute Enclave on Edge of Tibet
    Uneasy Engagement: Australia, Nourishing China’s Economic Engine, Questions Ties