(Beijing Reuters) People familiar with the matter revealed that the Chinese monetary regulatory authorities are asking some commercial banks to reduce or delay the purchase of the US dollar to slow down the depreciation of the RMB.
According to Reuters on Tuesday (August 1), two people familiar with the matter reported that the China State Foreign Exchange Administration recently issued an informal instruction to the bank in the form of window guidance.
A source said that the regulatory authorities emphasized that due to the recent depreciation of the RMB, banks should postpone the purchase of US dollars under the self -operated trading account.
The RMB has fallen to a new low in July to eight months. The exchange rate against the US dollar has depreciated by 3.6%since this year, and it is one of the worst currencies in Asia.
At present, the monetary management department has only modified some rules, such as allowing the company to increase overseas lending, setting the daily benchmark exchange rate of RMB more stringent than expected, and purchasing some RMB for state -owned banks.
It is reported that the regulatory authorities led by the Central Bank of China also required banks to restrict the scale of self -operated trading accounts in 2021 to contrary to the fluctuation of the RMB exchange rate.
