From Jan 1, 2026, New Identity Rules for Cross-Border Remittance

By People's Bank of China

Recently, the People's Bank of China, the National Financial Regulatory Administration, and the China Securities Regulatory Commission jointly issued the "Measures for the Management of Customer Due Diligence and Customer Identity Information and Transaction Record Retention by Financial Institutions," which clarifies that starting from January 1, 2026, for cross-border remittance business, remittances of more than 5,000 yuan or the equivalent of 1,000 US dollars per transaction must verify the accuracy of the remitter's information.

When financial institutions and institutions engaged in remittance services remit funds abroad on behalf of clients, they shall register the remitter’s name or entity name, account number, and address, as well as the recipient’s name or entity name and account number, retain such information on the remittance voucher or in relevant information systems, and provide the receiving overseas institution with the remitter’s name or entity name, account number, address, and other information.If the remitter does not hold an account with the institution and the financial institution is unable to register the remitter’s account number, it may register and provide other relevant information to the receiving overseas institution to ensure that the transaction can be traced and audited.

Where the amount of funds remitted abroad by a financial institution or an institution engaged in remittance services is RMB 5,000 or more per transaction, or the equivalent of USD 1,000 or more in foreign currency, the accuracy of the remitter’s information shall be verified. Where there are reasonable grounds to suspect that a client is involved in money laundering or terrorist financing, financial institutions shall take reasonable measures to verify the remitter’s information regardless of the amount remitted.

When acting as an intermediary institution in cross-border remittance transactions, financial institutions shall fully transmit the remitter and recipient information attached to the remittance, take reasonable measures to identify any missing required remitter or recipient information, and, based on the risk profile, clearly specify the applicable circumstances for executing, rejecting, or suspending such remittance transactions, as well as the corresponding follow-up handling measures.

Where a financial institution receiving inbound remittances from abroad discovers that information such as the remitter’s name or entity name, account number, or address is missing, it shall require the overseas institution to supplement such information. If the remitter does not hold an account with the overseas institution handling the outbound remittance and the domestic receiving financial institution is unable to register the remitter’s account number, it may register other relevant information to ensure that the transaction can be traced and audited.

Source: People's Bank of China

https://www.pbc.gov.cn/tiaofasi/144941/144957/5916164/index.html