Guidelines on Code of Conduct for the Foreign Exchange Market was promulgated on 26 Nov. 2021, and entered into force on 1 Jan. 2022.

The Guidelines consists of 40 articles, aiming to regulate conduct for the foreign exchange market.

The key points are as follows.

1.What activities are included in the Guidance?

The Guidance applies to the market where the Chinese currency Renminbi is

traded against foreign currencies (Art. 2) and the transactions of foreign currency pairs on the interbank foreign exchange market (Art. 36).

The Guidance also provides guidance to foreign exchange activities with market participants including organizations engaged in foreign exchange transactions, the China Foreign Exchange Trade Center, the Shanghai Clearing House, and money brokerage companies (Art. 3).

2.Must market participants disclose all transaction information to their customers?

No.

Market participants shall make full disclosuree on the relevant public information of the products to their customers before entering into transactions (Art. 9).

However, they shall not disclose sensitive information to their customers, including non-public information that has significant impact on prices, foreign exchange transaction-related information and designated confidential information (Art. 19).