Chinese banks halt transactions for North Koreans

Branches of China’s biggest banks have suspended financial transactions for North Koreans, employees tell AFP, suggesting that Beijing has pursued stronger measures against its nuclear-armed ally than previously thought.

Staff at branches in Beijing and the border city of Yanji — a major trade and transportation hub between the two neighbors — say their banks have banned North Koreans from opening new accounts and some have even started to close existing ones.

The restrictions were imposed well before the United Nations Security Council unanimously approved, with China’s blessing, new sanctions on Pyongyang on Monday following its latest and largest nuclear test.

Employees at several branches of the country’s “big four” — Industrial and Commercial Bank of China, Agricultural Bank of China, Bank of China and China Construction Bank — confirm the financial curbs for North Korean clients.

“We have frozen their accounts, which means they cannot withdraw (money),” a staff member at a Yanji branch of China Construction Bank tells AFP.

“They cannot use (their accounts) in Yanji anymore, as well as our services… We have already started to inform them to cancel their account. If they can cancel, we let them cancel. If they cannot, we will not let them use it,” the staffer says.

— AFP