On June 22, 2017, Pan Gongsheng, administrator of the State Administration of Foreign Exchange (SAFE), headed a delegation to Shenzhen for Inspections and held a seminar there to listen to the ideas, opinons and suggestions of relevant institutions on the conditions of China's foreign exchange market and the foreign exchange administration policies.

According to Pan, since the beginning of this year, along with the accelerated upgrading and transformation of the economic structural adjustment, and in-depth advances of the supply-side reform, China has borne witness to steady and promisig economic growth at a mid-to-high speed. The foreign exchange market has performed stably, market expectations have remained stable, while foreign exchange reserves and RMB exchange rate have stayed steady, and cross-border capital flows and supply and demand in the foreign exchange maket have found a basic equilibrium.

The cross-border trade and investment facilitation shall be further enhanced to better serve the real economy and openign up, Pan emphasized. Under the principle of the current account convertibility, efforts shall be made to duly support and ensure authentic and complying international payments and transfers under the current account, in a bid to enhance cross-border trade facilitation. The two-way liberalization of the finanical market shall be boosted in a stable and orderly manner, and the capable enterprises who meet the conditions shall be supported to be invovled in autheitc outward investments in compliance with regulations, so as to support Chinese enterprises to go global. The sound foreign exchange administration policy environment shall be built to support Chinese enterprieses to participate in the Belt and Road Initiative.

Foreign exchange authorities are required to further deepen the foreign exchange administration reform and strengthen the building of their regulatory capabilities, according to Pan. The macro-prudential administration of cross-border capital flows and micro-market regulatory system shall be established to intensify ongoing and ex-post regulation. The monitoring and early warning of cross-border capital flows shall be refined and irregularities such as underground banks shall be cracked down on to safeguard the health and stability of the foreign exchange market and China's economic and financial security.

As the frontier of China's reform and opening up, Shenzhen boasts a vibrant market, with market participants sensitive to policies and market signs. It is Pan's wish that Shenzhen Branch of the SAFE and participants in the foreign exchange market could break new ground and make innovations to continue to play a leading role in the new round of the reform and openning up and deliver reproducible and promotable experience with regard to the deepening of foreign exchange administration reform and the optimization of services.