Brazil plans to attract China’s foreign reserves, says president of Central Bank

14 March 2007

Sao Paulo, Brazil, 14 March – The Brazilian government t plans to tell the Chinese authorities that it is interested in attracting a share of China’s foreign reserves, Brazilian financial newspaper, Valor Economico reported.

“(Brazil) Is a highly favorable and competitive destination in areas that interest China, such as power, minerals, and there is complementary interest,” said the president of the Brazilian central bank, Henrique Meirelles, in Switzerland where he took part in a meeting on the world economy with the main monetary authorities.

The Chinese government recently announced the creation of an agency to diversify the application of China’s international reserves, which currently stand at around US$200 billion.

According to the newspaper, contacts with the Beijing authorities will be carried out by the Brazilian Ministry for Foreign Relations and the Brazilian Finance Ministry.

Meirelles said that although he did not consider Brazil to be “in the phase of attracting investments,” he added that Brazil’s interest would be based on the “excellent relations” between Brasilia and Beijing. (macauhub)