China Eyes Yuan Outflows in Battle Against Sinking Currency
(Beijing) — China's central bank is said to be considering tougher, coordinated measures on cross-border capital movements to stem further depreciation of the country's currency, taking aim at yuan outflows, which analysts say also depress the yuan's value.
Previous government policies have mainly targeted foreign exchange outflows, mostly in dollars. Increasingly, however, companies have worked around those controls by moving yuan funds overseas and converting them into dollars in offshore markets, according to a research team at the China International Capital Corp. (CICC), an investment bank.
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