China still sees Europe debt risk, helps by increasing bond buying


Reuters

BEIJING–China still sees risks from eurozone debt problems and has increased its holdings of European government bonds to help the region, the Chinese foreign ministry said on Thursday. Asked about the resignation of Portuguese Prime Minister Jose Socrates after parliament rejected his government’s latest austerity measures, China said that it wanted to keep promoting “comprehensive, strategic” relations with Portugal.

“At present, the risks from the Euro sovereign debt crisis have not disappeared, and the world economic outlook is unclear,” foreign ministry spokeswoman Jiang Yu said at a regular news briefing.