Europe calls for China to rescue Euro

Concerns over weak Euro have prompted EU leaders to seek out for Chinese investment. In what is seen as a major shift of power towards the East, top EU officials have initiated talk with China to rescue Europe with fresh funds. If this happens, this would give China the perfect opportunity to get a very strong hold in the Western financial world.

China indicated that it doesn’t want to be a mere spectator in the current debt crisis – Europe being their biggest trading partner. But Chinese government certainly needs to ensure that European heads meet certain key conditions – it doesn’t want to “throw away the countries wealth.” China has alluded that in exchange of emergency rescue fund, it expects European leaders, and the rest of the world, to stop criticizing its economic policy. In addition, it is also expected that China might demand various other concessions, which might include financial guarantees and concessions in trade policies, etc.

Klaus Regling, the head of the European rescue fund, on his visit to Beijing on Friday acknowledged that he doesn’t expect an immediate deal with China. Reports are going around that China has also made a tough proposal.

It is anticipated that if China choose to rescue Europe, it will bring the beginning of a new world order – overthrow the world’s most powerful financial power long held by the United States. Does that mean China is the new super power in the making? We have to wait and watch...