It was announced by officials from China that they will not be using their massive hold on the United States debt for their own political gain. This comes after a forecast that has predicted that foreign debt for the United States is going to triple in the next decade to over $20 trillion. China holds the largest amount of exchange reserves which increased over $450 billion this year alone to reach a total sum of over $2.4 trillion. Concerns about this hold have made people nervous lately as there were rumours that China had planned on using this debt to gain political leeway with the United States.Yi Gang who is the head of the State Administration for Foreign Exchange said that the foreign exchanges are huge right now. He also commented that he hoped that China’s investment in this exchange would not lead to a political game of football. This is a market driven behaviour and it should not be politicized. This is the hopes of Mr. Gang at least when it comes to the debt owed to China.
