China CIC official: U.S. treasury debt still a safe investment

BEIJING Thu May 12, 2011 1:24am EDT

BEIJING May 12 (Reuters) - U.S. government debt remains a safe investment despite depreciation risks for the U.S. dollar, an official from China's sovereign wealth fund said on Thursday.

The comments were made by Laurence Lau, head of the Hong Kong office of China Investment Corp on the sidelines of a conference.

"U.S. treausries are safe investments, and the U.S. govenrment will pay back its debts, there is little concern about that," he said. "But for the U.S. dollar, there is a bit risk of depreciation." (Reporting by Zhou Xin and Kevin Yao; Editing by Simon Rabinovitch)