Four most robust emerging economies, to the rescue of the EU. China already has been interested in the purchase of Italian debt bonds. The BRIC: emerging economies in search of more political power. Brazil’s Finance Minister, Guido Mantega, confirmed Tuesday that next week will meet in Washington with their counterparts from China, Russia and India, in order to assess possible aid to European countries affected by the financial crisis. We will see what to do to help the European Union (EU) out of this situation, said Mantega about the meeting, to be held on the margins of a meeting of the International Monetary Fund (IMF). Brazil, Russia, India and China, the four stronger emerging economies of the world, make up the BRIC group, a forum for dialogue that the Minister not clarified what kind of help. Mantega intends to travel to Washington next Monday and the meeting with the Ministers of other members of the BRIC group will be held the next day. Also Prime Minister China, Wen Jiabao, has assured that his country is ready to extend a helping hand with investments in the European Union and EE UU.
Buying debt on Tuesday met the Italian Government negotiates with the Chinese authorities so that a Fund of the Asian giant buy bonds and invest in strategic Italian companies, reported the Financial times. According to the newspaper, which quoted Italian sources not identified, the Minister of Finance of that country, Giulio Tremonti, received last week a delegation headed by Lou Jiwei, Chairman of China Investment Corp., one of the world’s largest sovereign wealth funds. The delegation was also with representatives from the box of deposits and loans Italian State entity that manages State investment and has enabled a strategic Fund open to foreign investors, explains the Rotary. The possibility to attract Chinese investment occurs at a moment critical to Italy, when buyers of Treasury bonds are asking interest higher to assume a debt that is estimated will this year reach 120% of the gross domestic product (GDP), a proportion only surpassed by Greece. An Italian source told the newspaper that China has currently around 4% of the debt of Italy, even if they have not released official figures.