China: Bailing out the world

China is willing to buy up billions of dollars worth of Eurozone debt to support its biggest trading partner, because the last thing China wants is a debt crisis which chokes off demand for its goods and services. 

This week, Wen Jiabao, the Chinese premier, travelled to London where $2bn worth of trade deals were signed. Germany too laid out the red carpet, securing $15bn worth of trade deals. Germany is by far China’s biggest trading partner in the EU. Of China’s $3tn currency reserve, one quarter is held European bonds. We ask: how can China balance its books as it goes on a spending spree?

Also, stop selling Subarus in Saudi Arabia. That is the message a group of Saudi women are sending to the Japanese car manufacturer. As religious clerics say women becoming more mobile goes against Islamic principles, opposition to the ‘men only’ rule is accelerating. Subaru is the first car maker to be urged to put women’s rights before business, and pull out of the Kingdom until the ban on women is lifted.

We also take a look at Egypt where a $3bn International Monetary Fund loan was turned down after deciding the books were balancing alright thanks to a budget revision. We have an exclusive interview with Samir Radwan, Egypt’s finance minister. 

Plus, in Argentina the world’s best player returns home. We hear from the tourism minister on the economic boost from hosting the Copa America – Latin America’s footballing showpiece. 

Counting the Cost can be seen each week at the following times GMT: Friday: 2230; Saturday: 0930; Sunday: 0330; Monday: 1630. Click here for more on Counting the Cost.