dollarvigilante.com / Jeff Berwick / January 27th, 2014
First Chase limited cash withdrawals and money transfers on certain business accounts, then HSBC told its customers they had to prove why they were withdrawing cash. After that Lloyd’s ATM’s stopped working and China banned cash transfers and foreign currency conversions starting this week.
We’ve covered the global trend towards capital controls in western nations, and we are unsurprised to announce the trend is only getting worse for savers. As we’ve predicted in the past (and been right), this will only get worse.
Now the Central Bank of China has ordered its commercial banks to suspend cash transfers for three days and foreign currency conversions for nine days starting January 30. This during the Lunar New Year Holiday, a time usually busy for banks in China.
The ban affects every commercial bank in China, and will cease domestic renminbi transfers from January 30 to February 2, and conversions of renminbi to foreign currency to February 7.