SAFE News
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- Index number:
- 000014453-2019-0049
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- Dispatch date:
- 2010-03-19
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- Publish organization:
- State Administration of Foreign Exchange
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- Exchange Reference number：
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- Name：
- Transforming the Methodology of Administration, Serving the Needs of Economic Development, and Enhancing the Foreign Exchange Supervision and Service Level under the Current Account in an All-round Manner
Transforming the Methodology of Administration, Serving the Needs of Economic Development, and Enhancing the Foreign Exchange Supervision and Service Level under the Current Account in an All-round Manner
Recently, a meeting was held by the State Administration of Foreign Exchange (SAFE). The meeting summarized the work regarding foreign exchange administration under the current account in 2009 and established the plan for foreign exchange administration under the current account in 2010.
In 2009 the SAFE put into practice the scientific outlook on development in an all-round manner for the administration of foreign exchange under the current account. Great efforts were made to promote the facilitation of trade, to enhance the investigation, monitoring, and analysis of foreign exchange administration under the current account, to further improve the off-site supervision mechanism for foreign exchange administration under the current account, and to actively guard against the risks brought about by cross-border fund flows. A wide array of measures was launched to promote the facilitation of trade. For example, with the aim of easing the pressures on the working funds of export enterprises to better combat the international financial crisis, enterprises with financial pressures were allowed to conduct the foreign exchange settlement prior to the foreign exchange verification and examination in an effort to progressively increase the proportion of foreign exchange collection for the processing trade; efforts were made to further standardize the administration of submission of tax certificates for foreign exchange payments to foreign countries and to facilitate foreign exchange payments to foreign countries under trade in services by institutions and individuals. Measures were also launched to improve foreign exchange administration under the current account and conscientiously guard against the risks brought about by cross-border fund flows. Such measures include the enhancement of administration of spin-offs for the settlement and sale of foreign exchange, the standardization of foreign exchange settlement by individuals by holding cash in foreign currencies, the standardization of administration of foreign exchange by domestic institutions for donation purposes, and so forth. While facilitating the receipt and payment of foreign exchange for donation purposes, emphasis was placed on the prevention of cross-border flows of abnormal funds through donation channels.
The meeting set out the plan for the major tasks regarding foreign exchange administration under the current account for 2010, placing an emphasis on six key areas: (1) to carry out the reform of the verification and writing-off of exchange payments for imports, with the aim of freeing the majority of enterprises that follow normal procedures from the verification and writing-off procedures for their exchange payments for imports; in the meantime, to proceed with the reform of the verification and writing-off system for exchange collection from exports, so as to further promote the facilitation of trade; (2) to carry out pilot operations for the deposit of exchange collections from exports in overseas countries and regions by giving a green light to overseas deposits and operation of a certain proportion or the full amount of foreign exchange collection from exports by domestic institutions, with the aim of increasing the efficiency of the use of funds by enterprises; (3) to proceed with the reform of the foreign exchange administration for trade in services; to enhance examination of the authenticity of foreign exchange inflows under trade in services and to standardize the administration of foreign exchange inflows under trade in services in parallel with efforts to further facilitate normal external payments under trade in services; (4) to study and promote the reform of the foreign exchange account administration, and to emphasize the acceleration of construction of relevant policies, regulations, and business systems; (5) to improve the administration of foreign exchange transactions by individuals, to improve the administration of the online inspection of foreign exchange collections and settlements from exports and the administration of transit trade and sales-after-imports businesses, in order to effectively guard against the risks brought by the inflow of abnormal cross-border funds; (6) to intensify efforts to explore and improve off-site supervision of foreign exchange fund flows, to give full play to the role of the rapid feedback mechanism for trade in goods, trade in services, and foreign exchange receipts and payments by individuals, to enhance statistical analysis and monitoring and early warning of foreign exchange fund flows, and to enhance the level of off-site supervision of foreign exchange administration under the current account.
