Buying US Treasuries remains the best way to reserve reserves

Shanghai 2009 Fudan Management International Forum held in Shanghai in 17, 18th, the theme of the Forum is "for the global economic crisis, the sustainable development of China's economy to advise."　　"The impact of the international financial crisis on China's real economy is only partial and temporary and can be reversed," said Boao Forum Secretary-General in an interview with reporters, predicting that the world economy will recover gradually by the end of this year or early next year, and that the United States will take the lead out of the crisis. For China's biggest revelation of the financial crisis, the country has recognized the importance of employment, including ordinary people and government, and expanding employment must further develop and foster small and medium-sized enterprises. "For small and medium-sized enterprises, private enterprises treatment has not been resolved, the root is that banks are unwilling to lend to private enterprises, and more willing to lend to state-owned enterprises, because in their view, the loan to the state-owned enterprises bad debt is a small problem, and loans to small and medium-sized enterprises appear bad debt is "To further create conditions for the development of private enterprises and small and medium-sized enterprises, and through further reforms, it is appropriate to allow them to enter major infrastructure construction, medical, health, financial and insurance industries," he said. In his view, if the small and medium-sized enterprises are not further developed, the employment problem will never be solved, "if only a few large state-owned enterprises, the Chinese economy is a light shelves of giants, no flesh and blood." When talking about joining the World Trade Organisation, he said it was particularly fortunate to have a bottom line, that is, not to pledge the renminbi to float, even if only to a timetable. "In the final stages of negotiations, the United States made us promise that the renminbi would float within five years, when we narrowly agreed, but finally the central government was adamant that it could not be committed." When we put this article is very correct, if not adhere to, the central bank's ability to control the overall macroeconomic policy, monetary policy will be greatly impacted. "For the increase in China's foreign exchange reserves, it is not surprising that this is the natural outcome of China's economic development, not the result of currency manipulation, but it also reflects the structural problems of the Chinese economy," he said. Long said the dollar, although the risk of devaluation, but the entire international financial system risks, weighing the pros and cons of various ways, from the current situation, the purchase of U.S. Treasury bonds is still the best way to China's foreign exchange reserves, relative to the euro and other currencies, the dollar has remained strong posture.