China willing to acquire Portuguese public debt

29 October 2010

Beijing, China, 29 Oct – China is willing to acquire Portuguese public debt and thereby contribute towards Portugal’s economic and financial recovery, Chinese Vice Foreign Minister Fu Ying said in Beijing.

China’s former ambassador in London is responsible for relations with Europe. She told Portuguese news agency Lusa on Thursday that “China always had a positive and favourable position” when considering the purchase of public debt from countries due for an official visit.

Chinese President Hu Jintao begins next week an official visit to Portugal and France.

The state-owned Bank of China meanwhile announced on Thursday that its portfolio included public debt from Portugal and other European countries, although in the first nine months of the year it had reduced its exposure by 60 percent with respect to debt from countries such as Portugal, Ireland, Italy, Greece and Spain.

The value of the “public debt instruments issued by Portugal, Ireland, Italy, Greece and Spain held by the bank stood at 2.79 billion yuan [302.28 million euros],” indicated the Bank of China, the country’s fourth biggest in terms of assets, in its announcement of third quarter results.

That amount “is 4.24 billion yuan [459.37 million euros] less than at the end of last year, mainly due to partial alienation of debt instruments issued by financial institutions and governments” from Portugal, Greece, Spain, Ireland and Italy, the bank added. (macauhub)