PBOC reportedly cracks down on overseas lending to stabilize yuan

Global Times quoted experts familiar with matter, “the reported actions by China's central bank to curb overseas yuan lending are among a string of measures taken by the regulator to stabilize the yuan and preserve the country's declining foreign exchange reserves.” 

The People's Bank of China (PBOC), the country's central bank, has circulated new rules for Chinese enterprises that make yuan-denominated loans to entities abroad, Reuters reported on Thursday.

Experts believe the measures aim to stem the decline in the country's foreign exchange reserves and bolster a depreciating yuan, which fell to eight-year lows at the end of November.

The PBOC and SAFE had not replied to inquiries from the Global Times for confirmation and comments so far.