{"id":328449,"date":"2026-03-04T13:09:07","date_gmt":"2026-03-04T13:09:07","guid":{"rendered":"https:\/\/www.newsbeep.com\/ie\/328449\/"},"modified":"2026-03-04T13:09:07","modified_gmt":"2026-03-04T13:09:07","slug":"chinas-sovereign-debt-is-becoming-a-strategic-alternative-to-us-treasuries-economist","status":"publish","type":"post","link":"https:\/\/www.newsbeep.com\/ie\/328449\/","title":{"rendered":"China\u2019s sovereign debt is becoming a strategic alternative to US Treasuries: economist"},"content":{"rendered":"<p>China\u2019s sovereign debt is emerging as a strategic alternative to US Treasuries as global investors look for geopolitical hedges, though greater market liquidity and <a target=\"_self\" class=\"e1yy41x40 ef9u0v01 css-1ankfgb ecgc78b0\" href=\"https:\/\/www.scmp.com\/economy\/china-economy\/article\/3345155\/can-chinas-roaring-trade-engine-power-yuans-challenge-us-dollar?module=top_story&amp;pgtype=section?module=inline&amp;pgtype=article\" title=\"\" data-qa=\"BaseLink-renderAnchor-StyledAnchor\" rel=\"nofollow noopener\">deeper yuan internationalisation<\/a> are still needed to cement its status as a global safe haven, an economist at a Chinese government think tank has said.<\/p>\n<p datatype=\"p\" data-qa=\"Component-Component\" class=\"e8zc9q40 css-1c6uqr6 ec74h0k1\">\u201c[These bonds] circumvent the restrictions of the non-convertibility of the renminbi,\u201d said Xu Qiyuan, deputy director of the American Studies Institute at the Chinese Academy of Social Sciences, in a February report.<\/p>\n<p datatype=\"p\" data-qa=\"Component-Component\" class=\"e8zc9q40 css-1c6uqr6 ec74h0k1\">\u201cAt the same time, they possess high-grade sovereign credit backing and liquidity and minimise the risk of sanctions or asset freezes due to holding assets within the major US financial system, such as US Treasury bonds.\u201d<\/p>\n<p>Xu\u2019s comments came at a time of swirling debate in Chinese policy circles about how Beijing can capitalise on <a target=\"_self\" class=\"e1yy41x40 ef9u0v01 css-1ankfgb ecgc78b0\" href=\"https:\/\/www.scmp.com\/economy\/china-economy\/article\/3343174\/china-lets-yuan-rise-strongest-level-years-de-dollarisation-trend-grows?module=inline&amp;pgtype=article\" title=\"\" data-qa=\"BaseLink-renderAnchor-StyledAnchor\" rel=\"nofollow noopener\">wavering investor confidence in the United States<\/a> and the US dollar. The issue is expected to be a hot topic at the <a target=\"_self\" class=\"e1yy41x40 ef9u0v01 css-1ankfgb ecgc78b0\" href=\"https:\/\/www.scmp.com\/economy\/china-economy\/series\/3344840\/two-sessions-chinas-economic-agenda?module=inline&amp;pgtype=article\" title=\"\" data-qa=\"BaseLink-renderAnchor-StyledAnchor\" rel=\"nofollow noopener\">\u201ctwo sessions\u201d<\/a> \u2013 the annual meetings of China\u2019s top legislature and advisory body \u2013 beginning on Wednesday.<\/p>\n<p datatype=\"p\" data-qa=\"Component-Component\" class=\"e8zc9q40 css-1c6uqr6 ec74h0k1\">Xu said geopolitical hedges aligned with a strategic push by sovereign institutions to diversify their asset allocations. This demand was being further fuelled by a shortage of high-quality liquid assets, despite relatively abundant global liquidity, he added.<\/p>\n<p datatype=\"p\" data-qa=\"Component-Component\" class=\"e8zc9q40 css-1c6uqr6 ec74h0k1\">He cited the robust demand for Beijing\u2019s US$4 billion dollar-denominated sovereign bonds issued in Hong Kong last November \u2013 which matched the US\u2019 borrowing costs for the first time \u2013 as an example.<\/p>\n","protected":false},"excerpt":{"rendered":"China\u2019s sovereign debt is emerging as a strategic alternative to US Treasuries as global investors look for geopolitical&hellip;\n","protected":false},"author":2,"featured_media":328450,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[11],"tags":[151816,2102,72,114,65849,113,240,61,60,41404,115,1097,85107,151815,66080],"class_list":["post-328449","post","type-post","status-publish","format-standard","has-post-thumbnail","category-economy","tag-american-studies-institute","tag-beijing","tag-business","tag-china","tag-chinese-academy-of-social-sciences","tag-economy","tag-hong-kong","tag-ie","tag-ireland","tag-ministry-of-finance","tag-united-states","tag-us-dollar","tag-us-treasuries","tag-xu-qiyuan","tag-yuan"],"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/posts\/328449","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/comments?post=328449"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/posts\/328449\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/media\/328450"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/media?parent=328449"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/categories?post=328449"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/tags?post=328449"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}