1. Increased restrictions on foreign exchange management: Class B SAFE means that its foreign exchange supervision ability is restricted, its foreign exchange management will be stricter, and enterprises and individuals will face more restrictions and scrutiny, such as foreign exchange transactions and cross-border capital transfer.

2. Damage to international reputation: The downgrade of SAFE will have a negative impact on China's reputation in the international financial market. This has led to a decline in the trust of some international financial institutions in China enterprises or individuals, which has affected the confidence of foreign investors.

3. Economic development is constrained: foreign exchange management is closely related to international trade and investment, and the downgrade of safe will have certain constraints on the national economic development. Due to the increase of management restrictions, it will bring more uncertainty and difficulty to cross-border trade, investment and capital flow. The Administration of Foreign Exchange is an important financial supervision institution in China, directly under the People's Bank of China (China Central Bank).