Special Report: Global Financial Crisis

Chinese Central Bank Governor Zhou Xiaochuan attends the Inter-American Development Bank (IDB) meeting in Medellin, Colombia, March 28, 2009. Zhou on Saturday urged for international financial reforms in the face of the global economic downturn. (Xinhua/David De La Paz) Photo Gallery>>>

    MEDELLIN, Colombia, March 28 (Xinhua) -- Chinese Central Bank Governor Zhou Xiaochuan on Saturday urged for international financial reforms in the face of the global economic downturn.

    Zhou made the remarks in the Colombian city of Medellin where he is attending a five-day Inter-American Development Bank (IDB) meeting.

    The Chinese official told reporters that he expected financial reforms and regulatory measures for international financial organizations, including the International Monetary Fund and the World Bank, would be discussed at the upcoming G20 summit of leading industrialized and developing nations in London.

    "Up to now we have participated in some working groups which focus on coordinating effort to overcome the negative impact of the financial crisis," Zhou said.

    "The second is maybe financial sector reform, including regulatory reform, and I think we also expect there may be some reform agenda for international financial institutions, including the Fund, the Bank and other development banks." he said.

    The Chinese official also called for tougher regulation of international financial institutions.

    Talking about China's trade cooperation with Latin America, Zhou said in 2008, China's direct investment in Latin America totaled 24 billion U.S. dollars while its trade with the region reached a record of more than 140 billion dollars, an increase of 40 percent from 101 billion in 2007.

    At least 48 members with their delegations attended the 50th IDB general assembly in Medellin. The meeting, which began on Friday, was on the international economic crisis and its impact in Latin America and the Caribbean.

    On Oct.15, 2008, the IDB approved China to become the 48th member country of the Washington D.C.-based bank.

    China is an important investment and trade partner of Latin America and its accession carries even greater significance for poverty alleviation and development in Latin America and the Caribbean at the conjuncture of the current financial crisis, said IDB President Luis Alberto Moreno on Jan. 12 when China officially joined the group.

China central bank governor suggests creating super-sovereign reserve currency 

    BEIJING, March 24 (Xinhua) -- Zhou Xiaochuan, governor of China's central bank, has proposed to create a super-sovereign reserve currency as part of reform in the international monetary system.

    The desirable goal of the international monetary system is to "create an international reserve currency that is disconnected from individual nations and is able to remain stable in the long run, thus removing the inherent deficiencies caused by using credit-based national currencies," he said.  Full story