China’s forex regulator is instructing banks to keep quiet on instructions to curb capital outflows and any potential negative views on the yuan, according to Reuters. “We’re not going to tell our customers that (our forex business) has stopped; we just have to find ways to turn down the business we’re not allowed to do,” said a banker at Chinese Commercial Bank Ping An who had received SAFE instructions from seniors. The requests are seen as a bid to prevent panic pushing the yuan down further; the currency's 6% slide against the US dollar in 2016 has resulted in restrictive measures on capital outflows from the State Administration of Foreign Exchange, which has also set limits on currency volumes for some banks. China will be forced to take further steps if it wants to avoid an outright devaluation of its currency, said analysts at JPMorgan Chase &
China’s forex regulator is instructing banks to keep quiet on instructions to curb capital outflows and any potential negative views on the yuan, according to Reuters. The requests are seen as a bid to prevent panic pushing the yuan down further; the currency's 6% slide against the US dollar in 2016 has resulted in restrictive measures on capital outflows from the State Administration of Foreign Exchange, which has also set limits on currency volumes for some banks. China will be forced to take further steps if it wants to avoid an outright devaluation of its currency, said analysts at JPMorgan Chase &