Capital control (资本管控)

Capital control (资本管控 zī běn guǎn kòng) refers to any measure adopted by an authoritative entity like the government or central bank, to regulate (管理 guǎn lǐ) and manage (控制 kòng zhì) the free flow of foreign capital (资本 zī běn) in or out of the domestic economy. 

Part 1: Breakdown of Words

  • Capital” (资本 zī běn) derives from:
  • “Control” (管控 guǎn kòng) derives from:
    • ” (guǎn) as in “pipe” (管子 guǎn zi), “catheter” (导管 dǎo guǎn), or “regulate” (管理 guǎn lǐ). 
    • ” (kòng) as in “charge” (指控 zhǐ kòng), or “holding company” (控股公司 kòng gǔ gōng sī).

Part 2: Examples

  1. Working capital control (营运资本管控 yíng yùn xī běn guǎn kòng).
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