Clinton seeks to ease Chinese concerns on US debt
July 26, 2011
US Secretary of State Hillary Clinton sought to reassure Chinese business and government leaders that the US would not default on its debt, speaking during a visit to Hong Kong and Shenzhen, the South China Morning Post reported. “Let me assure you, we understand the stakes,” Clinton said in a Hong Kong speech. “We know how important this is for us and how important it is for you.” Clinton also travelled to Shenzhen – not originally on her 11-day world tour itinerary – to meet with Chinese State Councilor Dai Bingguo. China holds about US$1.2 trillion in US sovereign debt, but so far Beijing has downplayed any criticism of political wrangling in Washington. Leaders of the Republican-controlled Congress have been in negotiations with Democratic President Obama to raise the debt ceiling before the August 2 deadline.