BERLIN (MNI) – China supports the stabilisation efforts of the EU
and is convinced that the Eurozone will overcome its current
difficulties, China and Germany said in a joint declaration published by
the German government on Thursday.

“China supports the measures of the European Union to stabilise its
economy and finances…and is convinced that the Eurozone states will
overcome its existing difficulties and reach stable economic growth,”
the joint declaration stated.

China stressed that Europe remains one of its most important
investment markets.

German Chancellor Angela Merkel will visit China from Thursday
through Sunday and hold talks with Chinese President Hu Jintao and Prime
Minister Wen Jiabao. The exchange rate of the yuan will be one of the
topics of interest in the talks, a senior German government official
said Tuesday.

The source said the German government welcomed last month’s
decision by China to make its foreign exchange rate regime more
flexible. “Naturally, it will be interesting how that will develop in
the future — if there are concrete concepts,” the official explained.

–Berlin bureau: +49-30-22 62 05 80; email: twidder@marketnews.com

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