PANews reported on December 29 that according to the official website of the State Administration of Foreign Exchange, in order to further enhance banks’ foreign exchange development capabilities, promote cross-border trade and investment and financing facilitation, and prevent cross-border capital flow risks, the State Administration of Foreign Exchange, in accordance with the "Foreign Exchange Administration of the People's Republic of China" Regulations" and relevant laws and regulations have formulated the "Management Measures for Banks' Foreign Exchange Business Development (Trial)", which will come into effect on January 1, 2024.
Chapter 5, Monitoring and Disposal of Foreign Exchange Risk Transactions, points out that banks should conduct foreign exchange risk transaction monitoring and analysis on customer transactions, and conduct due diligence, in-process review, and post-event monitoring of any suspected cases involving false trade, false investment and financing, underground banks, and cross-border transactions. For information on cross-border gambling, fraudulent export tax rebates, illegal cross-border financial activities with virtual currency, and other suspected illegal and illegal cross-border capital flows, timely form a foreign exchange risk transaction report and submit it to the State Administration of Foreign Exchange.
