Euro-bonds

"We have so far only issued euro bonds but we are authorized to use any currency we want if it seems efficient, " he said.

But Japan is the only sovereign issuer of yen bonds, while Greece is the least creditworthy of the many countries offering euro bonds.

Yet there is no plan to create euro bonds backed by a central authority able to make fiscal transfers to overindebted regions.

Wen also stated in clear terms that China will not reduce its holdings of euro bonds and said it supports a stable euro.

But they did not support the idea of euro bonds.

Some German analysts have questioned whether those efforts are simply laying the groundwork for acceptance of euro bonds.

Euro bonds are the main alternative asset into which they have been shifting their funds.

French President Nicolas Sarkozy said euro bonds would make indebted countries less responsible for their fiscal problems.

Euro bonds, a mechanism to allow weaker members to borrow at lower rates, is one divisive issue.

Q: Given the rising possibility of Greece's default, does China worry about its holding of Euro bonds?

So they started buying euro bonds again, allowing the euro to recover and remain strong.

S. phenomenon. Ten-year euro bonds are yielding around 4% today, no higher than in 2003, despite much faster growth in the region.

The summit declined to adopt the most frequently proposed treatments: common euro bonds to pool part of the euro zone's debt;