China's central bank, the People's Bank of China (PBOC), has just unveiled it plans to implement a program to restrict transactions involving large amounts of cash, local newspaper Xinhuanet reported yesterday.
According to the PBOC, the restrictions, which will be in force for 2 years, will be applied in three regions of the country: the provinces of Hebei and Zhejiang as well as the city of Shenzhen.
Some experts think these measures are aimed at paving the way for the launch of the country's national digital currency, which has hit headlines recently.
The country's central bank has reported this program aims to fight illegal activities, as criminals are frequently associated to large transactions with cash, which they use in an attempt to evade taxes and launder money.
The restrictions will consist of the following measures. Cash deposits/withdrawals in commercial accounts will be restricted from 500,000 yuan ($71,000), while in personal accounts these amounts will range from 100,000 yuan ($14,000) to 300,000 yuan ($43,000), depending on the province.
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