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The branches and foreign exchange administrative departments of the State Administration of Foreign Exchange (SAFE) in all provinces, autonomous regions, and municipalities directly under the Central Government; the branches in Shenzhen, Dalian, Qingdao, Xiamen, and Ningbo: In order to promote a basic equilibrium in the balance of payments of China , the State Administration of Foreign Exchange ("SAFE") has decided to appropriately reduce the aggregate quota for external financing guarantees of domestic banks in 2011 based on the relevant quota in 2010. Relevant information about the ratification of the quotas for the external financing guarantees of domestic banks (hereinafter referred to as quotas) for 2011 and the relevant management requirements are hereby notified as follows: I. A quota of a total of USD76.37622 billion for 2011 has been ratified for some Chinese-funded banks, legal-person foreign-funded banks, and branches of foreign banks. II. As for Chinese-funded banks or legal-person foreign-funded banks, the quota shall be determined on the basis of the Tier 1 capital in both domestic and foreign currency at the end of the previous year; as for branches of foreign banks, the quota shall be determined on the basis of the working capital in both domestic and foreign currency or the net foreign exchange assets at the end of the previous year. The proportion of the upper limit of the quota shall be determined by the SAFE based on the current situation in foreign exchange receipts and payments and the business development of the banks, and so forth. III. The quota for a bank shall come into effect as of the date of issuance and shall continue in force until the date of effectiveness of the quota for the next year. Applications submitted by the banks, within the period of validity, for adjustments of the quotas shall be forwarded to the SAFE for approval through the local branches, sub-branches, or foreign exchange administrative departments of the SAFE (hereinafter referred to as the foreign exchange authorities). IV. Banks with quotas that have been adjusted downward, where on the date of effectiveness of the quota the balance of the external financing guarantee has already exceeded the newly-ratified quota, shall, within 3 months, bring the balance of the external financing guarantee to within the scope of the newly-ratified quota. The banks shall not handle new external financing guarantees before the balance of the external financing guarantee is reduced to the newly-ratified quota. IV. Where foreign institutions issue bonds overseas and domestic banks, domestic non-bank financial institutions, or domestic enterprises are the proposed guarantors thereof, it shall be reported to the SAFE for approval by the domestic guarantor on a case-by-case basis through the local foreign exchange authority. Where the guarantors are domestic non-bank financial institutions or domestic enterprises, the qualifications of the guarantors and the debtors shall also be in conformity with the relevant provisions of the Circular of the State Administration of Foreign Exchange on the Administration of External Guarantees Provided by Domestic Institutions (Huifa No.39 [2010]). Applications by domestic real estate enterprises for provision of external guarantees for overseas issuances of bonds by their overseas subsidiaries are not currently accepted. VI. Where the foreign exchange authorities accept the applications of domestic institutions for external financing guarantees and domestic banks handle the business of external financing guarantees, the specific purpose of the proceeds from the financing obtained by the overseas debtor shall be strictly examined. The proceeds from the financing under the guarantee shall not, directly or indirectly, be transferred back to China by means of equity or debt investments, including but not limited to the following means: (1) The proceeds from the financing are used to repay former loans of the debtor or other overseas companies, and the former loan proceeds are transferred back to China by means of equity or debt; (2) The proceeds from the financing are used, directly or indirectly, to purchase the equity of the overseas target company whose main assets are located within China ; (3) Other means of transfer back to China determined by the foreign exchange authorities. VII. Where domestic institutions provide external guarantees in RMB, in principle they shall be administered in accordance with the relevant provisions of the Circular of the State Administration of Foreign Exchange on the Administration of External Guarantees Provided by Domestic Institutions (Huifa No.39 [2010]). VIII. Domestic banks shall strictly comply with the Measures for the Administration of External Guarantees Provided by Domestic Institutions, the Circular of the State Administration of Foreign Exchange on the Administration of External Guarantees Provided by Domestic Institutions (Huifa No.39 [2010]), and other relevant provisions, strengthen internal risk controls, strictly keep the balance of actually provided external financing guarantees within the scope of the quota, and submit the relevant data to the local foreign exchange authorities as required. IX. The foreign exchange authorities shall further strengthen ex-post inspections and the statistics and monitoring of the provision of external guarantees by domestic institutions: (1) The foreign exchange authorities shall strictly administer implementation of the quotas of the banks within their jurisdiction, and carry out regular statistics and monitoring of the balance in the external financing guarantees provided under their quotas, the variations in the balance, and the performance of the guarantees. (2) The foreign exchange authorities shall keep a close eye on the flow of the proceeds under the guarantees. Where the proceeds under the guarantees are transferred back to China in violation of the regulations on foreign exchange administration, penalties shall be imposed by the foreign exchange authorities in accordance with the Regulations of the People’s Republic of China on Foreign Exchange Administration and other relevant regulations. The branches and foreign exchange administrative departments shall, upon receipt of this Circular, promptly forward it to all central sub-branches, sub-branches, and banks within their respective jurisdictions, and shall do a good job of tracking and providing feedback in a timely manner. July 27, 2011 2011-08-15/en/2011/0815/727.html
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In order to increase the efficiency of funds utilization by domestic enterprises and to further promote trade facilitation, the State Administration of Foreign Exchange has, in accordance with the relevant provisions of the Regulations of the Peoples Republic of China on Foreign Exchange Administration, decided to carry out a pilot policy for overseas deposits of export proceeds in Beijing, Guangdong (including Shenzhen), Shandong (including Qingdao), and Jiangsu for one year starting from October 1, 2010. We hereby notify you of the relevant requirements for the pilot policy as follows: 1. A domestic enterprise in a pilot region that has a desire to deposit export proceeds overseas and meets the prescribed conditions may file an application with the local branch office of the State Administration of Foreign Exchange (hereinafter referred to as the foreign exchange authority) and may participate in the pilot implementation upon approval. 2. The branch or administrative department of the State Administration of Foreign Exchange in the pilot region (hereinafter referred to as the SAFE branch) shall, in accordance with the relevant provisions of the Pilot Measures for the Administration of Overseas Deposits of Export Proceeds from Trade in Goods (hereinafter referred to as the Pilot Measures; see the annex), examine the qualifications of the applicants and determine the pilot enterprises in stages and batches in light of the local situations and the applications of the enterprises within its jurisdiction. During the pilot period, each SAFE branch shall approve a total of no more than ten pilot enterprises. 3. The pilot enterprises shall, in accordance with the relevant provisions of the Pilot Measures, open and close their overseas bank accounts, receive and pay funds and handle other related businesses, and report any relevant information to the foreign exchange authority. 4. The foreign exchange authority shall, in accordance with the relevant provisions of the Pilot Measures, administer the receipts and payments of the overseas bank accounts of the pilot enterprises, and maintain an account book for each enterprise. 5. The total amount of the overseas deposits of the export proceeds of a pilot enterprise each year shall not exceed a certain proportion of the total amount of export proceeds in the previous calendar year. This proportion shall be determined and adjusted by the SAFE branch in accordance with the relevant provisions of the Pilot Measures and the practical situation of the enterprise. 6. The foreign exchange authority shall, based on the information reported by the pilot enterprises, handle the relevant foreign exchange administrative formalities for the pilot enterprises, such as the writing-off of the export proceeds received in foreign exchange and the writing-off of the import payments made in foreign exchange (or verification of the gross foreign exchange payments for imports). The pilot enterprises shall, after the writing-off of the export proceeds received in foreign exchange, normally handle the export rebates in accordance with the relevant provisions. 7. The SAFE branch shall, in accordance with the relevant provisions of the Pilot Measures and this Circular, make the operating rules for the local pilot match the operating requirements for this business. The pilot operational rules shall be implemented after being filed with the State Administration of Foreign Exchange before September 20, 2010. 8. The SAFE branch shall strengthen the organization and leadership of the pilot work of overseas deposits of export proceeds, form a pilot work team headed by a relevant deputy director-general, formulate specific pilot work schemes as uniformly arranged by the State Administration of Foreign Exchange, and earnestly organize the implementation thereof. 9. The SAFE branch shall do a good job in carrying out training regarding the policies for the pilot enterprises, strengthen publicity about the policies, earnestly study and solve the problems found in the pilot work, provide timely feedback on the pilot implementation, and report a quarterly review on the pilot work to the State Administration of Foreign Exchange. Timely feedback about any problems encountered in implementation should be provided to the Current Account Management Department of the State Administration of Foreign Exchange. FILE: Appendix 1Agreement on the Reporting of Account Receipt and Payment Information FILE: Appendix 2Balance Statement for Overseas Deposits of Export Proceeds FILE: Pilot Measures for the Administration of Overseas Deposits of Export Proceeds from Trade in Goods 2010-08-27/en/2010/0827/710.html
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The branches and foreign exchange administrative departments of the State Administration of Foreign Exchange (SAFE) in all provinces, autonomous regions, and municipalities directly under the Central Government; the SAFE branches in Shenzhen, Dalian , Qingdao , Xiamen , and Ningbo ; and all designated Chinese-funded foreign exchange banks: Given the changes and adjustments to the provisions on foreign exchange administration from August 2010 to the present, the SAFE has formulated the Contents and Scoring Criteria for the Assessment of Bank Implementation of the Provisions on Foreign Exchange Administration (2011) (see the Appendix). You are hereby notified of the relevant matters as follows: 1. The contents and scoring criteria for the assessment of bank implementation of the provisions on foreign exchange administration for the year 2011 are subject to the contents of the Appendix to this Circular. 2. After receiving this Circular, all branches and foreign exchange administrative departments of the SAFE shall immediately forward this Circular to the central sub-branches, sub-branches, urban commercial banks, rural commercial banks, wholly foreign-funded banks, Chinese-foreign equity joint venture banks, branches of foreign banks, and rural cooperative financial institutions within their respective jurisdictions, and shall carry out fair and just assessments of the banks within their respective jurisdictions in implementing the provisions of foreign exchange administration in line with the revised contents and scoring criteria. 3. All designated Chinese-funded foreign exchange banks shall forward this Circular to their branches as soon as possible, and shall conduct their various foreign exchange businesses in accordance with the relevant laws and regulations. If any problems are encountered during implementation, please report them to the relevant departments of the SAFE in a timely manner. Telephone numbers: 010-68402129 (General Affairs Department), 010-68402295 (Balance of Payments Department), 010-68402156 (Current Account Administration Department), 010-68402061 (Capital Account Administration Department), and 010-68402352 (Supervision and Inspection Department). May 13, 2011 affix1:Contents and Scoring Criteria for the Assessment of Bank Implementation of the Provisions on Foreign Exchange Administration (2011) 2011-05-25/en/2011/0525/723.html
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The branches and foreign exchange administrative departments of the State Administration of Foreign Exchange (SAFE) in all provinces, autonomous regions, and municipalities directly under the Central Government; and the SAFE branches in Shenzhen, Dalian, Qingdao, Xiamen, and Ningbo: To further clarify the administrative principles and relevant issues in the application of the Circular of the State Administration of Foreign Exchange on Relevant Issues Concerning Foreign Exchange Administration for Financing and Return Investments by Domestic Residents through Special-Purpose Overseas Companies (HuiFa No.75 [2005]) and to simplify the operational process, the Operational Rules on Foreign Exchange Administration for Financing and Return Investments by Domestic Residents through Special Purpose Overseas Companies is hereby printed and distributed (see the Appendix). Please observe and implement it. The Circular will come into effect as of July 1, 2011. Where there is any discrepancy between this Circular and the provisions regarding specific processing basis, processing period, relevant authority for implementation, required application materials, and so forth with respect to foreign exchange registration relating to foreign direct investments, foreign exchange payment approvals, foreign exchange registration of overseas investments, approvals of outward remittances of capital thereof, the opening, changing, closing, and cancellation of foreign exchange accounts, and approval of the maximum amount allowed to be reserved in the account under the Circular of the General Affairs Department of the State Administration of Foreign Exchange on Printing and Distributing the Operational Rules for Foreign Exchange Administration under the Capital Account (2009 version) (HuiZongFa No. 77 [2009]) and the Circular of the State Administration of Foreign Exchange on the Promulgation of the List of Administrative Licensing Items (HuiFa No. 43 [2010]), this Circular shall prevail. May 20, 2011 FILE: Operational Rules on Foreign Exchange Administration for Financing and Return Investments by Domestic Residents through Special-Purpose Overseas Companies.eng 2011-05-27/en/2011/0527/724.html
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The branches and foreign exchange administrative departments of the State Administration of Foreign Exchange (SAFE) in all provinces, autonomous regions, and municipalities directly under the Central Government; the branches in Shenzhen, Dalian, Qingdao, Xiamen, and Ningbo: For the purpose of preventing financial risks from cross-border capital flows, relevant issues concerning the further strengthening of administration of foreign exchange business are hereby notified as follows: 1. Further strengthening the administration of the comprehensive positions of banks in the settlement and sales of foreign exchange. Based on the lower-limit management of the outstanding positions of banks engaging in forward foreign exchange settlement and sales on a cash basis, further adjustments were made to the lower limits of banks with outstanding negative positions on a cash basis on November 8, 2010. Specifically, the lower limit of banks with outstanding positions lower than USD-2 billion (inclusive) on November 8, 2010 shall be adjusted to 40% of the outstanding positions; in cases where the lower limits of banks with outstanding positions ranged from USD-2 to 0 billion on November 8, 2010, the lower limit shall be adjusted to 50% of the outstanding position. In cases where the current positions of banks are lower than the adjusted lower limits, the relevant positions shall be increased progressively to be adjusted to an amount within the limit before September 30, 2011 at the latest. The aforesaid provisions do not apply to foreign-funded banks that have not entered into Renminbi business and have not implemented balanced management of special Renminbi accounts for the settlement and sales of foreign exchange. 2. Strengthening foreign exchange administration for transit trade. Foreign exchange proceeds under transit trade shall be settled or transferred after external payments for the corresponding transit trade have been made by the enterprises. The banks shall, upon receipt of the foreign exchange proceeds from transit trade, transfer the proceeds into the to-be-verified accounts of the enterprises. When handling the foreign exchange settlement for the proceeds from transit trade or when transferring the proceeds into accounts under the current account, the enterprises shall submit to the banks the relevant export contracts, import contracts, and vouchers for the exchange collection/payment for the transit trade. The banks may handle the relevant procedures for foreign exchange settlement or transfer for the enterprises after verification and examination of the relevant documents. In cases where the amount of foreign exchange settlement/transfer from the transit-trade proceeds exceeds 20% of the corresponding amount of payments, the enterprises shall file an application for the handling of the relevant procedures with the foreign exchange authorities in their localities by presenting to the latter the above documents, and the banks may handle the relevant procedures for foreign exchange settlement/transfer after receiving approval from the foreign exchange authorities in their localities. 3. Reducing the basic proportion of advances on sales and deferred payments for a term of more than 90 days. The basic proportion of enterprisesadvances on sales under trade in goods or deferred payments for a term of more than 90 days shall be reduced to 20% of the total proceeds from exports or the total payments for imports during the previous 12 months respectively. 4. Strengthening the administration of the short-term external debts of financial institutions. The quotas for short-term external debts of domestic institutions in 2011 shall be further reduced based on the verified quotas for short-term external debts of domestic institutions in 2010; quotas for the outstanding short-term external debts of banks with relatively large amounts of inter-bank deposits/lending shall be reduced appropriately. This Circular shall come into force as of April 1, 2011. All branches and foreign exchange administration departments of the State Administration of Foreign Exchange shall promptly forward the Circular to all central sub-branches, sub-branches, and banks within their respective jurisdictions; all Chinese-funded banks shall promptly forward it to their branches/sub-branches. If any problems arise from implementation of this Circular, please provide feedback to the SAFE in a timely manner. Tel.: 010-68402450, 68402313, 68402446. March 18, 2011 2011-03-30/en/2011/0330/721.html
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Standard Chartered Banks purchasing quota of foreign exchange for overseas investment services on behalf of its clients approved 2006-10-26/en/2006/1026/808.html
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Standard Chartered Banks purchasing quota of foreign exchange for overseas investment services on behalf of its clients approved 2006-10-26/en/2006/1026/809.html
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Hang Seng Bank Ltds purchasing quota of foreign exchange for overseas investment services on behalf of its clients approved 2006-10-09/en/2006/1009/804.html
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China Minsheng Banks purchasing quota of foreign exchange for overseas investment services on behalf of its clients approved 2006-11-15/en/2006/1115/811.html
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China Citic Bank's purchasing quota of foreign exchange for overseas investment services on behalf of its clients approved 2006-09-25/en/2006/0925/803.html