At what point will China own a majority stake in the G7 group of countries? The Italian Government is looking East to finance its budget deficit. Italian Finance Minister Giulio Tremonti and Vittorio Grilli have recently met with directors of China’s sovereign wealth fund to seek a cash injection to help meet budget pitfalls.
Italy ranks second to only Greece at the bottom of Eurozone debt to GDP ratio, and the European Union is calling for austerity tactics.
At the same time, all is not well in China. The country’s inflation rate just hit a three year high.