Rich but rash

摘要

Xi Jinping, China's president, was chummy in public when he met Nicolas Maduro in Beijing in early January (pictured above), praising his Venezuelan counterpart as a "good friend of the Chinese people". Behind closed doors, negotiations must have been far more tense. Chinese banks have lent $50 billion to Venezuela since 2007. With its economy in a deep recession, Venezuela's ability to repay these debts is in grave doubt. Investors trading Venezuelan bonds would see default as a virtual inevitability but for China's involvement. Having already lent so much to Venezuela, will it give Mr Maduro yet more to prevent his country from going over the edge?