"Retroactive" moves on foreign-listing approvals

Without saying specifically how the State Administration of Foreign Exchange (SAFE) would toughen approvals on private Chinese firms seeking overseas listings, the South China Morning Post said the rules would somehow be tightened and put into effect retroactively. The daily said the changes were aimed at stemming tax evasion and what it called "plundering of state-owned assets". Citing a posting on the administration's web site, the Post also said SAFE intended to curb the flow of hot money entering China on speculation of a currency revaluation, and would now prohibit all but already listed and "special purpose" firms from retaining foreign exchange.