Our Foreign Debt Balance Accounts For Over 70% In The Short Term.

In the two years from June 2009 to June 2011, China's short term

The data released by the State Administration of foreign exchange (hereinafter referred to as the "foreign exchange bureau") in September 16th showed that as at the end of 6 in 2011, our foreign debt balance was US $642 billion 528 million.

Among them, the balance of the medium and long-term external debt is 180 billion 417 million dollars, accounting for 28.08% of the external debt balance; the short-term external debt balance is 462 billion 111 million dollars, accounting for 71.92% of the external debt balance.

The reporter looked at the foreign debt data from the end of 6 2009 to the end of 2011 6, and found that China's short-term foreign debt accounted for a continuous rise in the past two years. At the end of 6 in 2009, China's short-term external debt balance was 194 billion 365 million dollars, and short-term external debt accounted for 53.90%. At the end of 2011 2011, the balance of short-term external debt was 462 billion 111 million yuan, accounting for 71.92%.

"The sustained and rapid growth of short-term foreign debt can be understood in two ways," Dr. Zhao Qingming, a senior analyst at China Construction Bank, told our correspondent. "The expectation of RMB appreciation and the spread of foreign currency loans, as well as the scale control of domestic RMB credit, have led to an increase in demand for foreign currency financing by enterprises". ()

Short term external debt refers to the external debt which is less than or equal to one year. Due to the shorter period of time, when the economic and financial situation changes, the creditor's rights may be concentrated and demanded promptly, which will cause debtor countries to have debts.

Zhao Qingming said that although the balance and proportion of external debt are rising, there is no money repayment risk in China. In his view, China's current external debt balance of US $about 600000000000 is only the same as the trade surplus of a year. At the same time, considering that there are huge foreign exchange reserves, the risk of external debt solvency can be controlled.

After the Asian financial crisis in 1998, international solvency has become an important indicator to measure the security of foreign debt.

The main indicators of international liquidity include the ratio of foreign exchange reserves to external debt balances, and the ratio of foreign exchange reserves to short-term external debt balances.

At the end of 6 2011, China's foreign exchange reserve balance (US $31974 billion) calculated that the ratio of foreign exchange reserves to external debt balance was 497% (international standard safety line was >20%), and the ratio of foreign exchange reserves to short-term external debt was 691% (international standard safety line was >100%).

From the perspective of short-term external debt formation, the balance of trade related credit was $348 billion 221 million at the end of 6 in 2011, accounting for 75% of the short-term external debt (remaining maturity), of which trade credit accounted for 52% and trade finance accounted for 23%.

The foreign exchange bureau said that trade related credit mostly had a real background of import and export trade, and its growth was basically compatible with the growth of China's import and export trade. Therefore, the proportion of short-term foreign debt will not rise in China.