China's sovereign wealth fund may give "indirect" support to Europe through investments without being the nation's main route for any aid, said Jesse Wang, the executive vice president of China Investment Corp, news from Bloomberg.

The fund "wouldn't be the main channel" if the Chinese government participates in efforts to tackle the sovereign-debt crisis, Wang said in an interview at a forum in Beijing today."However, if during such a process there are good investment opportunities in Europe and if CIC's investment helped the destination company or country to recover and developed the economy, that would be an indirect support to Europe."

European leaders are looking to China, the holder of the world's largest foreign-exchange reserves at $3.2 trillion, as a source of funds as the region's crisis threatens to trigger a global slump. China is among countries that may be willing to support Europe through the International Monetary Fund if policy makers agree on a plan, World Bank President Robert Zoellick said in a Nov. 17 interview.

CIC managed $409.6 billion at the end of 2010.

"As a commercial entity, CIC is seeking reasonable returns with controllable risks," Wang said. He cited an investment in the exploration and production business of Paris-based GDF Suez SA, Europe's largest natural-gas network operator, as an example of what appeals.

Source:chinesestock