Chinese Banker Faults Greece Efforts

A senior Chinese central bank official criticized the handling of the Greek debt crisis, highlighting global concern about the situation in Europe, The Wall Street Journal reported. Speaking at a conference in Hong Kong, Zhu Min, deputy governor of the People's Bank of China, also said China "should and could" import more goods to keep its trade surplus small. And he noted that the central bank's efforts to tighten monetary policy were having their intended effect, even without China having to raise interest rates. "I don't think Greece will go bankrupt because it's still relatively small," said Mr. Zhu. "But we don't see decisive actions to tell the market we can solve it." Mr. Zhu called Greece "just one case," but also the "tip of the iceberg," and warned that fiscal problems could spread to Spain and Italy. High levels of debt throughout the developed world, he said, would keep growth low for several years. Read more. (Subscription required.)