Foreign exchange controls in china3 Aug 2017 10:23
China - Foreign Exchange Controls Includes how foreign exchange is managed and implications
On December 30, 2016, China People’s Bank of China issued Measures for the Administration of Financial Institutions' Reporting of High-Value Transactions and Suspicious Transactions, the goal is meant to target money laundering, terrorism financing and fake outbound investment transactions, and not normal, legitimate business activities. Under the new rules, From July 1, 2017, banks and other financial institutions in China will have to report all domestic and overseas cash transactions of more than 50,000 yuan, compared with 200,000 yuan previously. Banks will also need to report any overseas transfers by individuals of $10,000 or more. In addition, all banks must report to central government on every single foreign exchange transaction of at least $5 million. SAFE will supervise and halt any on-going ODI projects in which Chinese investors still need to transfer more than $50 million out of the country. Only once they have vetted the authenticity and legality of the company's ODI plans will the green light be given.
Prepared by our U.S. Embassies abroad. With its network of 108 offices across the United States and in more than 75 countries, the U.S. Commercial Service of the U.S. Department of Commerce ut
