China to lend out its massive foreign exchange reserves
Submitted by cpowell on Mon, 2010-05-24 04:42. Section: Daily Dispatches
Looks like China aims to exchange more dollars for resources in the ground.
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China is tapping its deep well of foreign reserves for overseas resource loans, benefiting banks through a major policy shift
By Zhang Yuzhe
Caixin Online, Beijing
Thursday, May 20, 2010
http://english.caing.com/2010-05-20/100145743.html
BEIJING -- The State Administration of Foreign Exchange (SAFE) is leading a policy adjustment that taps China's huge stash of foreign reserves for overseas loans through commercial banks.
Under an evolving reform project launched in recent months, SAFE has taken initial steps toward giving policy and commercial banks authority to handle loans for intergovernmental cooperation projects.
Major loan-for-oil swaps signed in recent months by China and several other countries marked a coming-out for the new policy.
