The U.S. is likely to restrict the......>

CHINA PRESS: The U.S. is likely to restrict the use of the SWIFT payments system

to specific Chinese financial institutions, according to a report in Securities

Daily. While restrictions were likely, the Daily's report cited analysts who

also said the probability of Hong Kong or mainland China being delisted by SWIFT

was extremely low. In any response, China should consider the use of "blocking

law" legislation which is used to deal with extra-territorial jurisdictions, the

newspaper said citing Chen Daofu, the deputy head of finance at the Development

Research Center of the State Council. Zheng Liansheng, a senior researcher at

the National Institution for Finance & Development told the Daily that China

could also consider building an alternative "backup" payment and settlement

system, other than SWIFT, to include the trading of energy, grain, minerals and

raw materials closely related to national security.