Reuters on September 22, 2017, reported that China’s central bank instructed Chinese banks on September 18, to strictly implement United Nations sanctions against North Korea. They were told to stop providing financial services to new North Korean customers and to wind down loans with existing customers, following tighter sanctions against Pyongyang by the United Nations. They said lenders were asked to fully implement United Nations sanctions against North Korea and were warned of the economic losses and reputational risks if they did not do so. The instructions reportedly emphasised that “At present, management of North Korea-related business has become an issue of national-level politics and national security,” and directed banks to explain to any North Korean customers that “our bank is fulfilling our international obligations and implementing United Nations sanctions against North Korea. As such, we refuse to handle any individual loans connected to North Korea.” The document did not specify whether existing North Korean account holders could still deposit or remove money from their accounts.

(Comment: Chinese banks have come under scrutiny for their role as a conduit for funds flowing to and from North Korea.)