China to buy up to $50 billion of first-ever IMF bonds

SAN FRANCISCO (MarketWatch) — The Chinese government has agreed to purchase up to $50 billion worth of International Monetary Fund bonds, the first such notes in the fund’s history, the IMF said Wednesday.

The global organization said the note purchase agreement “offers China a safe investment instrument,” and is part of a broader plan to help the fund weather the economic downturn.

The IMF announced plans to issue bonds to member countries in June, as part of a plan to help bolster its resources. China expressed interest at that time in purchasing the notes.

Other countries reportedly interested in purchasing the IMF bonds include Russia and India.

Oh man, China might as well take their money and burn it as buy IMF bonds.

Hey China! I’ll be happy to sell you $50 billion of 3 Wood Bonds, and you will be more likely to be paid back by me than you will the IMF.

Now I have seen everything.