SHANGHAI -- In the latest attempt to curb capital outflows, the Chinese government now requires individuals to disclose details of their foreign currency purchases and large yuan-denominated transactions, but the new measure will be vulnerable to a host of loopholes.
An official in charge of planning at a large Shanghai bank received a message from the People's Bank of China during the evening hours of Dec. 30. The central bank had scheduled an informational session for the next day. The topic: new reporting requirements, including for daily transactions by individuals exceeding 50,000 yuan ($7,270).
