As a layman, I never fully understand why China is aggressive in overseas investments until I read a statement by Mr. Gao Xiqing's remark, a vice-chairment and president of China Investment Corp (CIC), the world's larget sovereign wealth fund. He clarified that China aims to make profits and build influence from its overseas investments and not just give away money. How simple is it by him to understand all confuses? Yes, such message should have been relay to our leaders so that they can realize China's secret aim behind their mouth-watering policy for Burma.
We all know that currently US and Europe are facing financial crisis for a relatively long time and unsettled yet. China is the biggest creditor to US as they were investing in US exchange reserves for over US$3 trillion. When China is being approached by European countries to buy their debts recently in order to ease their crisis, what do you think of China's response? As usual, China won't do business unless there is some benefit for them. Look what they said, Beijing is willing to invest in their debts if EU fulfill their three key demands. They are
1) More influence at the International Monetary Fund
2) Market economy status in the World Trade organization and
3) the lifting of a European arms embargo
Following China demands, EU withdrew their seeking for help from Asia's Giant. Mr. Gao told one summit in Hong Kong that "In the process of investing overseas, we have to be rational and profitable". He added, we frequently meet with foreign regulators whose attitude is that we should give them money and leave everything to them. Nothing comes for free in this world, he insisted.
Our policy makers should take every FDI proposes to them carefully in order to get right investment. Currently our trade ministry got a lot approached by several companies from not only regional but the world. They have to be long-sighted people to generate maximum profits for our people. Some big companies are just coming to dig our gold opportunity with little return from them. We have to choose based on national interests, not personal. We all hope that our republic government officials are good enough to pick up an excellent choice from several offers for a particular development. Unlike our past, we are getting much opportunities to choose from. In brief, it's time not to depend alone on China. Lets be wise in order to avoid China's dirty trap.
We all know that currently US and Europe are facing financial crisis for a relatively long time and unsettled yet. China is the biggest creditor to US as they were investing in US exchange reserves for over US$3 trillion. When China is being approached by European countries to buy their debts recently in order to ease their crisis, what do you think of China's response? As usual, China won't do business unless there is some benefit for them. Look what they said, Beijing is willing to invest in their debts if EU fulfill their three key demands. They are
1) More influence at the International Monetary Fund
2) Market economy status in the World Trade organization and
3) the lifting of a European arms embargo
Following China demands, EU withdrew their seeking for help from Asia's Giant. Mr. Gao told one summit in Hong Kong that "In the process of investing overseas, we have to be rational and profitable". He added, we frequently meet with foreign regulators whose attitude is that we should give them money and leave everything to them. Nothing comes for free in this world, he insisted.
Our policy makers should take every FDI proposes to them carefully in order to get right investment. Currently our trade ministry got a lot approached by several companies from not only regional but the world. They have to be long-sighted people to generate maximum profits for our people. Some big companies are just coming to dig our gold opportunity with little return from them. We have to choose based on national interests, not personal. We all hope that our republic government officials are good enough to pick up an excellent choice from several offers for a particular development. Unlike our past, we are getting much opportunities to choose from. In brief, it's time not to depend alone on China. Lets be wise in order to avoid China's dirty trap.
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