China Merchants Bank tightens rules for mainlanders opening HK accounts

Shanghai

CHINA Merchants Bank (CMB) will next week sharply tighten eligibility rules for mainlanders to open accounts at its Hong Kong branches, the latest move by Chinese lenders to curb capital outflows as Beijing steps up efforts to temper a slide in the yuan.

Starting Feb 1, applicants for account opening at CMB's Hong Kong branches as well as at Wing Lung Bank, controlled by CMB, must have assets at the bank averaging five million yuan (S$1 million) each day over the past three months, a 100-fold increase from the 50,000 yuan threshold previously, CMB said in a notice.