China's central bank has forced banks to freeze financial services and close existing loans to North Korean customers. Reuters reports.
According to the American agency, in a document the Central Bank of China has asked national banks to fully implement the United Nations sanctions against North Korea, warning of the economic and reputational risks in case of non-compliance with these obligations. According to sources reported by Reuters, the banks received the document on Monday.
The document underlines how "at present, the management of businesses connected to North Korea has become a national political and security issue".
The Central Bank of China invites banks to explain to customers that, in light of compliance with international commitments, they cannot handle any business connected to North Korea.
Recall that today Standard & Poor's has cut its rating by one notch to 'A+' of China's long-term debt and that of the country's short-term debt at 'A-1'.
