The Chinese authorities are about to halve the amount of cash China UnionPay bank card holders can withdraw from ATM machines in Macau, the South China Morning Post has learned. It is the latest step by Beijing to curb the flow of cash out of the country as the value of the nation's currency weakens against the dollar.
Here are other measures the authorities have taken over recent months to tackle the problem:
1. Shanghai's municipal foreign exchange authority told bank managers in the city in November that all overseas payments under the capital account of more than US$5 million would have to be submitted to Beijing for clearance, sources familiar with the matter said.
2. The People's Bank of China will not approve overseas investments of more than US$10 billion, mergers and acquisitions valued at more than US$1 billion outside a Chinese investor's core business and foreign real estate deals by state-owned enterprises involving more than US$1 billion, according to an internal document seen by the Post.
3. The central bank last month ordered the country's banks to stop issuing credit cards that allow customers to transact purchases in dual currencies.
Credit cards issued in China with Visa or MasterCard must be replaced with those issued by the country's dominant currency clearing company China UnionPay when they expire, a policy that will help Beijing to better monitor capital flows across the borders.