U.S. Gives China Some Face

Sunday, March 11, 2007 16:23
Posted in category The Big Picture
Comments Off on U.S. Gives China Some Face

In light of the recent deficit news, which surely had the bush administration steaming from the ears, the USTR have given China a little face when praising their decision to stop subsidizing loans for exporters.

for those of you who followed the USTR report analysis we did back in December (Part I, II, III, IV, V, VI, VII, & VIII) you will remember, that this was a big issue for USTR.. and this will be seen as another oliveĀ  branch (or is it fig leaf?)

I would be interested in knowing what counts as a subsidized loan though given the majority of loans in China are non-performing, and I am not sure the banks are capable of “subsidizing” the massive NPLs any more.

With reports of more NPLs coming out and hemorrhaging from foreign exchange losses… it only makes sense they end the forgiveness program.

Both comments and pings are currently closed.