China has signalled that it's willing to get more deeply involved in resolving Europe's debt crisis.
However, Beijing is being cautious and wants to see more evidence of how Europe is working to resolve its financial woes before putting its hand in its pocket.
So far China has been investing in sovereign bonds and has been supporting the European Financial Stability Facility, but China is wary given that it's already holding US$1.5 trillion of debt from the United States.
China's premier Wen Jiabao has been meeting in Beijing with EU president Herman Van Rompuy, who was doing his diplomatic best to convince China to take on a new customer.
Listen to my analysis from this morning's edition of AM.