(FT) -- France and China will discuss potential reform of the international monetary system when President Hu Jintao arrives in Paris for a three-day state visit, which comes on the eve of France's presidency of the G20 group of leading nations.
Nicolas Sarkozy, Mr Hu's counterpart, is keen to establish a common understanding on issues that will be raised during France's leadership of the G20, which begins on November 13.
Mr Hu will also travel to Portugal on Saturday, following comments last week that China was looking favourably on the purchase of Portuguese government bonds, as Lisbon struggles to manage its fiscal crisis. The move follows similar signals towards bond purchases in Greece, which received an international bail-out earlier this year.
At a briefing ahead of the visit, Fu Ying, a Chinese deputy foreign minister, said China had invested consistently in the debt markets of European countries. She added: "We are confident that the measures being undertaken by the Portuguese government will help in restoring the economy and finances to normal".
France is rolling out the red carpet for Mr Hu, with Mr Sarkozy taking the exceptional step of meeting the Chinese leader at the airport and returning through Paris with a contingent of the Republican Guard on horseback.
"There is one power that weighs more heavily than others," said a senior presidential adviser. "These discussions have a very significant importance for the French presidency. We have to really understand each other's positions." The aim would be to "identify" common ground to avoid confrontation, he added.
Mr Sarkozy is hoping to win China's support for measures to help reduce excessive volatility in exchange rates and commodities, as well as reform of global institutions.
China has shown a desire to play a more prominent role in international economic forums such as the G20, but is also keen to avoid commitments that allow for outside interference in its economic management.
Winning Beijing over is key to Mr Sarkozy's own political credibility at home as the next presidential election approaches in 2012.
CNN
