BOC cuts business ties with North Korean bank

Foreign Trade Bank accused of funding North Korea’s missile and nuclear programs.

Bank of China, one of China’s Big Four state-owned banks, has stopped doing business said it has told the Foreign Trade Bank that its accounts are being closed and all financial transactions suspended.

The Foreign Trade Bank is North Korea’s main foreign exchange bank. The U.S. imposed sanctions against the bank in March, describing the bank as a key node in financing North Korea’s weapons programs.

The remaining Big Four banks are not expected to follow suit. China Construction Bank said it does not do any business with the Foreign Trade Bank.

Industrial and Commercial Bank of China and Agricultural Bank of China were not available for comment.