Friday, 29 June 2007

China Approves $200 Billion Sale for Fund to Buy Reserves, Boost Returns

(Bloomberg) -- China approved a 1.55 trillion yuan
($200 billion) sale of government bonds to set up a fund that
will seek higher returns on the nation's currency reserves.

The Ministry of Finance will use proceeds from the sale to
buy a portion of China's $1.2 trillion foreign-exchange reserves
from the central bank and establish a new asset-management
company. The plan was approved by the National People's Congress,
China's parliament, according to the official Xinhua News Agency.


Read more at Bloomberg Bonds News

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