China considers Tobin tax to counter capital outflows

[BEIJING] China is studying a Tobin tax as a new policy tool to curb capital outflows, an official at the country's foreign exchange regulator said on Tuesday.

Wang Yungui, head of the policy and regulation department at the State Administration of Foreign Exchange (SAFE), did not mention a timeframe or other details for rolling out the tax.

The comment followed a similar remark from central bank's vice governor Yi Gang, who said on March 19 that China looks to introduce a tax on transactions to combat currency speculation.

REUTERS