As Europe's debt crisis worsens further, one analyst says China may be their only savior.
"China is the last line of defense for the entire globe... If Europeans cannot find a way of solving the euro crisis or increasing money supply, there will be nobody else left but China, in order to ensure that the euro zone does not spin out of control," Viktor Shvets, MD & Head of Research & Strategy at Samsung Securities Asia, told CNBC Wednesday.
But doubts over reports that China was going to help out debt-laden Italy by buying its bonds, emerged on Tuesday. Further, an Italian ministerial source told Reuters Wednesday that those possible Chinese investments were expected in the country's industrial sector and not in its bonds.
"China, in my view, has no interest in Italy, no interest in Spain. What they do have an interest in is maintaining a degree of stability," Shvets said, as China "still needs at least another 5-10 years to restructure its economy."
Shvets says even though the combined economic power of emerging markets is not capable of fully picking up the slack in demand in developed countries, they still have a key role to play in fixing the global economy.
"What we need to have is reflation in developed markets, and emerging markets will have to respond by tightening... Now, if we can coordinate that action on a global basis, then perhaps five, six years from now, the world will look much better," Shvets said.