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Greece asks China to buy some of its Debt |
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Wednesday, 27 January 2010 |
Greece has quietly asked China to buy up to 25 billion euros ($35.2 billion) of its government bonds, as the European nation struggles to fund its soaring public debt, the Financial Times reported today.
U.S. investment bank Goldman Sachs Group Inc. has been pursuing a Greek bond sale to China and particularly the State Administration of Foreign Exchange -- which manages Beijing's massive foreign exchange reserves -- the report said, citing people familiar with the issue.
Greek Finance Minister George Papaconstantinou said he would visit China on a road show for the bonds in February, but "no target is set" for a debt issue, according to the report.
A senior official in the Greek finance ministry said Athens would welcome Chinese buyers of its bonds. The official declined to specify an amount, but a number in the region of 20 billion to 25 billion euros came up in the talks with Goldman Sachs, the report said.
Beijing hasn't agreed to such a proposal, it added. Greece has been forced to look elsewhere to get out of their tough financial situation after Germany, France and the UK said they wont be able to help Athens.
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