Regulations On Foreign Exchange Control Of The People's Republic Of China

(promulgated by Decree No. 193rd of the State Council of the People's Republic of China in January 29, 1996, amended according to the decision of the State Council on Amending the regulations on foreign exchange control of People's Republic of China in January 14, 1997).

general provisions

Article 1 These Regulations are formulated for the purpose of strengthening foreign exchange management, maintaining balance of payments and promoting healthy development of the national economy.

Second the State Council's foreign exchange administration departments and their branches (hereinafter referred to as foreign exchange administration organs) shall fulfill their responsibilities for foreign exchange management according to law and be responsible for the implementation of these regulations.

Third the foreign exchange referred to in these Regulations refers to the following means of payment and assets that can be used for international settlement in foreign currencies:

A foreign currency, including banknotes and coins.

Two foreign currency payment vouchers, including bills, bank deposit certificates, postal savings certificates, etc.

Three foreign currency securities, including government bonds, corporate bonds, stocks, etc.

Four special drawing rights, European monetary unit;

Five other foreign exchange assets.

These Regulations shall apply to the foreign exchange receipts and payments or business activities of fourth domestic institutions, individuals, institutions in China and personnel coming to China.

The fifth countries do not impose restrictions on regular international payments and pfers.

The sixth countries implement the international balance of payments statistics declaration system.

All units and individuals with balance of payments activities must declare their balance of payments statistics.

Article seventh in People's Republic of China, foreign currency shall be prohibited from circulation and shall not be denominated and settled in foreign currencies.

Eighth all units and individuals have the right to report and expose violations of foreign exchange management activities and activities.

Units and individuals who report, expose or assist in investigating and prosecute cases that violate foreign exchange management cases shall be rewarded by the foreign exchange control authorities and shall be responsible for keeping secrets.

The second chapter is current account foreign exchange.

The current foreign exchange earnings of ninth domestic institutions must be pferred back to the mainland, and no foreign exchange may be stored abroad without authorization in violation of relevant state regulations.

The tenth foreign exchange receipts of current accounts of domestic institutions shall be sold to designated foreign exchange banks in accordance with the regulations of the State Council Concerning the administration of foreign exchange, foreign exchange and payment, or the foreign exchange accounts approved by the designated foreign exchange banks.

In accordance with the regulations of the State Council on the administration of foreign exchange, foreign exchange and payment, the eleventh foreign exchange accounts for current account shall be opened to foreign exchange designated banks by valid certificates and commercial documents.

The export receipts and import and export remittance of twelfth domestic institutions shall be verified in accordance with the provisions of the state on the verification of export receipts and the administration of verification of import and export.

Thirteenth foreign exchange owned by individuals can be held by themselves or deposited in a bank or sold to a designated foreign exchange bank.

The principle of voluntary deposit, withdrawal of funds, interest on deposits and keeping secret for depositors shall be applied to individuals' foreign exchange savings deposits.

Fourteenth individuals purchase foreign exchange within the prescribed limit because of private remittance.

An individual who exceeds the prescribed limit shall apply to the foreign exchange control organ for private remittance. If the foreign exchange administration considers that the application is true, it may purchase foreign exchange.

Individuals carrying foreign currencies into and out of the country shall apply to the Customs for declaration formalities, and those carrying foreign currencies beyond the prescribed limit shall also issue valid certificates to the customs.

After the fifteenth individuals migrate abroad, the proceeds from their domestic assets can be remitted or carried out through the purchase of foreign exchange from designated foreign exchange banks with certified documents and valid certificates.

Sixteenth foreign currency assets such as foreign currency payment vouchers, foreign currency securities and other forms held by Chinese citizens living within the territory shall not be carried or mailed out without approval from the foreign exchange administration authorities.

The seventeenth legitimate revenue from the Chinese institutions and the people who come to China need to be remitted abroad, and they can be paid to the designated foreign exchange banks with relevant supporting materials and certificates.

Eighteenth foreign institutions and personnel coming from China can remit or bring in foreign exchange abroad. They can keep them themselves, deposit them in banks or sell them to designated foreign exchange banks, or export or carry them out with valid certificates.

The third chapter is capital account foreign exchange.

The nineteenth foreign exchange receipts of capital items of domestic institutions shall be pferred back to the territory unless otherwise stipulated by the State Council.

Twentieth foreign exchange receipts for capital account of domestic institutions shall be opened in foreign exchange designated banks according to relevant regulations of the state, and the foreign exchange designated banks must be approved by the foreign exchange control authorities.

The twenty-first domestic institutions shall invest overseas, and the foreign exchange authorities shall examine the source of their foreign exchange funds before applying to the competent authorities for examination and approval; after approval, the relevant funds shall be remitted according to the regulations of the State Council on foreign exchange management of overseas investment.

The twenty-second is to borrow foreign loans, and the financial institutions and enterprises approved by the State Council and the foreign exchange administration under the State Council shall be handled in accordance with the relevant provisions of the state.

Foreign funded enterprises shall report to foreign exchange management authorities for record when borrowing foreign loans.

The issuance of foreign currency bonds by twenty-third financial institutions abroad shall be subject to the approval of the foreign exchange administration department under the State Council and shall be handled in accordance with the relevant provisions of the state.

The twenty-fourth provision of external guarantees can only be handled by financial institutions and enterprises that meet the requirements of the state, and must be approved by the foreign exchange administration.

The twenty-fifth country implements registration system for foreign debts.

Domestic institutions shall register foreign debts in accordance with the regulations of the State Council on the statistical monitoring of foreign debts.

The foreign exchange management department of the State Council is responsible for the statistics and monitoring of foreign debts throughout the country, and regularly announces the situation of foreign debts.

After the liquidation and taxation of twenty-sixth foreign-funded enterprises terminated according to the relevant provisions of the state, all Renminbi belonging to foreign investors can be remitted or carried out to designated foreign exchange banks. Foreign exchange owned by all Chinese investors should be sold to designated foreign exchange banks.

Fourth chapter foreign exchange business of financial institutions

The twenty-seventh foreign exchange businesses of the financial institutions must be approved by the foreign exchange administration authorities and receive the permit to operate foreign exchange business.

No unit or individual may engage in foreign exchange business without the approval of the foreign exchange administration.

Financial institutions authorized to operate foreign exchange businesses must not exceed the approved scope for foreign exchange business.

The twenty-eighth financial institutions operating foreign exchange businesses shall open accounts for foreign exchange and handle foreign exchange businesses in accordance with relevant state regulations.

In order to operate foreign exchange business, twenty-ninth financial institutions should deposit foreign exchange reserve requirements in accordance with the relevant provisions of the state, comply with the provisions on the management of foreign exchange assets and liabilities ratio, and establish a reserve for bad debts.

The thirtieth foreign exchange designated banks shall use their own funds for the renminbi funds needed for the settlement of foreign exchange business.

The foreign exchange designated bank's settlement and turnover foreign exchange shall be managed in a range of proportions, and the specific extent shall be approved by the people's Bank of China on the basis of actual conditions.

Thirty-first financial institutions operating foreign exchange businesses shall be examined and supervised by foreign exchange administrations.

Financial institutions operating foreign exchange businesses shall submit foreign exchange balance sheets, profit and loss statements, and other financial and accounting statements and information to the foreign exchange control authorities.

If thirty-second financial institutions terminate their foreign exchange business, they shall apply to the foreign exchange control organ.

If a financial institution terminates its foreign exchange business through approval, it shall liquidate foreign exchange claims and debts according to law, and revoke the license for foreign exchange business.

The fifth chapter is RMB exchange rate and foreign exchange market.

The thirty-third RMB exchange rate is based on a single, managed floating exchange rate system based on market supply and demand.

According to the price formed in the interbank foreign exchange market, the people's Bank of China announces the exchange rate of RMB against major foreign currencies.

The thirty-fourth foreign exchange market pactions should follow the principles of openness, fairness, fairness and honesty.

The currency and form of the thirty-fifth foreign exchange market pactions shall be stipulated and adjusted by the foreign exchange administration department under the State Council.

The thirty-sixth designated foreign exchange banks and other financial institutions operating foreign exchange businesses are traders in the interbank foreign exchange market.

Designated foreign exchange banks and other financial institutions that operate foreign exchange businesses shall, according to the exchange rate and the prescribed floating range announced by the people's Bank of China, determine the price of foreign exchange trading to customers and handle foreign exchange business.

Thirty-seventh the foreign exchange administration under the State Council shall supervise and manage the foreign exchange market in accordance with the law.

Article thirty-eighth the people's Bank of China shall regulate and control the foreign exchange market according to the requirements of monetary policy and changes in the foreign exchange market.

The sixth chapter is legal liability.

Thirty-ninth of the following acts of evading foreign exchange, the foreign exchange administrative organ shall order the foreign exchange authorities to return the foreign exchange within a prescribed time limit, and impose a fine of thirty percent times or more than 5 times the amount of foreign exchange evasion; if a crime is constituted, the offender shall be investigated for criminal responsibility according to law.

(1) storing foreign exchange without authorization in violation of state regulations;

Two do not sell foreign exchange to designated foreign exchange banks in accordance with state regulations.

Three to remit or carry out foreign exchange in violation of state regulations;

Four without the approval of the foreign exchange administration authorities, the foreign currency deposit certificates or foreign currency securities are carried or mailed abroad without authorization.

Five other evasion.

Fortieth of the following illegal arbitrage acts, the foreign exchange administrative organ shall give warning, compulsory acceptance, and impose a fine of more than thirty percent times or more than 3 times the amount of illegal arbitrage; if a crime is constituted, criminal liability shall be investigated according to law.

(1) storing foreign exchange without authorization in violation of state regulations;

Two do not sell foreign exchange to designated foreign exchange banks in accordance with state regulations.

Three to remit or carry out foreign exchange in violation of state regulations;

Four without the approval of the foreign exchange administration authorities, the foreign currency deposit certificates or foreign currency securities are carried or mailed abroad without authorization.

Five other acts of illegal arbitrage.

Article forty-first if the foreign exchange business is authorized to operate without authorization by the foreign exchange administrative organ, the foreign exchange administrative authority shall confiscate the illegal gains and ban it, and if it constitutes a crime, it shall be investigated for criminal responsibility according to law.

If a financial institution operating foreign exchange business goes beyond the scope of approval to engage in foreign exchange business, it shall be ordered by the foreign exchange administrative organ to make corrections. If the illegal gains are obtained, the illegal gains shall be confiscated and a fine of 1 times or more than 5 times the illegal income shall be confiscated. If there is no illegal income, a fine of more than 100 thousand yuan or 500 thousand yuan shall be imposed. If the circumstances are serious or if the case is not corrected within the time limit, the foreign exchange administrative organ shall order to rectify or revoke the foreign exchange business license; if a crime is constituted, criminal liability shall be investigated according to law.

If the forty-second designated foreign exchange banks fail to handle foreign exchange settlement and sale in accordance with the state regulations, the foreign exchange control authorities shall order correction, criticize, confiscate illegal gains, and impose a fine of not more than 100 thousand yuan or less than 500 thousand yuan.

Forty-third financial institutions operating foreign exchange businesses in violation of the RMB exchange rate management, foreign exchange deposit and loan interest rate management, or foreign exchange market management, shall be ordered by the foreign exchange management authorities to make corrections and criticize. If any illegal gains are obtained, the illegal gains shall be confiscated and the illegal income shall be fined more than 1 times or more than 5 times. If there is no illegal income, the fine shall be fined not more than 100 thousand yuan or 500 thousand yuan. If the circumstances are serious, the foreign exchange administrative organ shall order the rectification or revoke of the foreign exchange business license.

If forty-fourth domestic institutions have one of the following violations of the management of foreign debts, they shall be warned, criticized and punished by foreign exchange administrations, and shall be fined not less than 100 thousand yuan or less than 500 thousand yuan; if a crime is constituted, they shall be investigated for criminal responsibility according to law.

(1) handling foreign loans without authorization;

Two issuing foreign currency bonds abroad without violating the relevant provisions of the state;

Three unauthorized provision of external guarantee in violation of relevant state regulations;

There are four other acts that violate the management of foreign debts.

Forty-fifth of the following acts of illegal use of foreign exchange by domestic institutions shall be ordered by foreign exchange administrations to make corrections, compulsory receipts, confiscation of illegal gains, and the equivalent amount of illegal foreign exchange shall be less than equal.