Chinese Prime Minister Mr Wen Jiabao on Saturday offered his country’s support for Europe and its common currency amid the eurozone’s debt crisis.

Mr Wen said China is a long-term investor in the European sovereign debt market and has purchased a “not small” amount of euro-denominated bonds in the past years.

“China will consistently support Europe and the euro,” Mr Wen said after a meeting with Hungarian Prime Minister Mr Viktor Orban.

Wen is on a five-day tour that takes him to Hungary, Britain and Germany, just as Europe hammers out a plan to battle the eurozone debt crisis.

“Europe’s debt crisis is expanding,” Mr Wen said. “Trust is more important than currency and gold and now, during the debt crisis, we again bring trust to Europe.”

“I have total trust in Europe’s economic development,” Mr Wen said.

Wen also said China would be willing to purchase Hungarian bonds — the country does not yet use the euro — and offered Hungary a loan of $1.4 billion.

For years Hungary has been striving to attract more Chinese investment and hopes China will make use of Hungary’s infrastructure and the advantages of its geographical location in Central Europe as a hub for its expanding business ventures on the rest of continent.

Mr Orban said Hungary and China signed a dozen agreements expanding their business and cultural ties, including plans for Chinese investments of $1 billion in Hungary’s chemicals industry.

Mr Wen will arrive in Britain later Saturday and will end his European visit in Berlin, where he is expected to discuss Europe’s debt crisis with German Chancellor Ms Angela Merkel on Monday.

Mr Wen, who is seen as the most pro-Europe leader in the Chinese Politburo, has voiced China’s willingness to prop up the region’s struggling economies, pledging to buy an unspecified amount of Greek Government bonds during a visit to the debt-ridden country in October.

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