China's forex control

China's forex control

SHANGHAI (AFP): China is tightening foreign exchange control in Shanghai by requiring all foreign currency account holders to apply for an intelligence card which tracks their transactions, officials said yesterday.

The Shanghai branch of the People's Bank of China (PBOC) and the municipal administration of foreign exchange control issued a notice September 27 requiring customers to apply for their cards by October 25, sources said.

Some bankers said the card violated banking confidentiality but added that they had no choice but to comply.

The SAEC conducted periodic checks on customers to ensure their transactions were within the scope allowed by the certificates, he said.

The cards cost clients 500 yuan each (60 dollars) and the ruling affects only Shanghai banks and their customers nationwide.