This is interesting from Speigel. Check it out!
The Hard Sell: Merkel Seeks Euro Zone Investments from Beijing – SPIEGEL ONLINE – News – International.
As Germany seeks Chinese money for investment in Europe, one wonders what China will want in return? Is this perhaps a
start of a new geo-political model?
The Chinese have already said that they are willing to help Europe provided that Germany steps forward with more money but that they will only do so if through their sovereign wealth fund they can purchase stakes in viable businesses.
Some of this they have started already by purchasing the infrastructure company which controls the London Underground, Wessex Water, a stake in Northern Rock in conjunction with Sir Richard Branson.
They have purchased Greek and Portuguese assets and will look for other assets of strategic economic and military importance which they can acquire at distressed and knock down prices.
What they will want in exchange for their money is leverage and political power from behind the scenes, whilst Mrs Merkel’s Germany becomes the effective master and motive power of Europe, with the UK, if it continues as it has done, continuing to lose influence as it shrinks its military and fails to adopt a plan for growth and jobs.
John, an interesting response. I totally agree about the UK being light on strategy as far as investment & jobs is concerned.