China's forex regulator to fend off risks from cross-border capital flows

[BEIJING] China's foreign exchange regulator said on Friday that it will work to fend off risks from cross-border capital flows and will push forward yuan convertibility on the capital account.

The statement by the State Administration of Foreign Exchange (SAFE) echoed the central bank, which said on Friday that it would quicken the pace of market-oriented interest rate reform and push forward on increasing yuan convertability in the capital account.

SAFE ordered major state banks this week to check for possible illegal activity in the currency market, as it tries to clamp down on speculative money flows in and out of the country.

REUTERS