Beijing attempts to curb hot money inflows

China has reduced the number of US dollars non-residents can change into renminbi in one day from US$20,000 to US$10,000. The reduction is aimed at curbing speculation regarding possible revaluation of China's currency. Under the new rule, non-residents are also limited to changing a maximum total of US$50,000 into renminbi in one month. China's State Administration of Foreign Exchange said that hot money inflows of around US$40-$50 billion have entered China in the last year, creating upward pressure on the yuan and stoking government fears of inflation.