Circular of the People's Bank of China on Issuing the Administrative Regulations on Foreign Exchange Conversion, Sales and Payment in Experimental Regions
Circular of the People's Bank of China on Issuing the Administrative Regulations on Foreign Exchange Conversion, Sales and Payment in Experimental Regions
Circular of the People's Bank of China on Issuing the Administrative Regulations on Foreign Exchange Conversion, Sales and Payment in Experimental Regions
Yin Fa [1996] No.63
February 14, 1996
Branches of the People's Bank of China of Jiangsu province, Shanghai, Shenzhen, and Dalian, and branches of the State Administration of Foreign Exchange of Jiangsu province, Shanghai, Shenzhen, and Dalian,
The Administrative Regulations on Foreign Exchange Conversion, Sales and Payment (the "Regulations" ) in Experimental Regions have been formulated by the People's Bank of China in the spirit of the State Council on the implementation of foreign exchange conversion, sales and payment in experimental regions and under the Regulations on Exchange Control of the People's Republic of China to promote the convertibility under current accounts and to regulate foreign exchange conversion, sales and payment.
The Regulations are hereby issued to you for implementation in accordance therewith. All SAFE bureaus of the experimental regions shall promptly forward the Regulations to the local branches of designated foreign exchange banks (including foreign banks) and all other entities concerned. Please report to the SAFE in case of any problem during the implementation.
Attached: Foreign Exchange Conversion, Sales And Payment In Experimental Regions
Chapter I General Provisions
Article 1 These Regulations are formulated to standardize foreign exchange conversion, sale and payment and to promote RMB's convertibility under current account.
Article 2 Financial institutions dealing with foreign exchange business shall handle foreign exchange conversion, sale and payment and open foreign exchange accounts in accordance with these Regulations and in conformity with their respective business scope approved by the People's Bank of China and the State Administration of Exchange Control ("SAEC").
Article 3 Ally types of foreign exchange revenues by all domestic enterprises and government units, State agencies, social groups, army units and so on (hereinafter referred to as "domestic institutions") shall be transferred back to the country in a timely manner; and foreign exchange settlement, purchase, opening of foreign exchange account and external foreign exchange payment shall be handled in accordance with these Regulations.
Individual residents, foreign institutions in China and foreign individuals in China shall handle foreign exchange conversion, purchase, opening of foreign exchange account and external foreign exchange payment in accordance with these Regulations.
Article 4 When domestic institutions and individual residents handle external revenues and expenditures through domestic financial institutions, they shall report the balance of payments statistics in accordance with the stipulations of the "Measures Governing Balance of Payments Statistics Reporting".
Chapter II Foreign Exchange Conversion, Sales and Payment under Current Account
Article 5 Except for such scope and amounts set forth in Article 6, 7 and 9 in these Regulations, the following foreign exchange obtained by domestic institutions shall all be settled:
1. foreign exchange revenues from export, transit goods on a payment-prior-to-revenue basis, and other transactions;
2. exchange revenues from winning international bids with foreign loans;
3. exchange revenues from duty-free commodities business operations domestically under the supervision of the Customs;
4. exchange revenues of such trades as transportation (including all transportation means), ports (including sea ports and airports), postal telecommunications (excluding international remittance), tourism, advertising, consulting, exhibition, commission sales, reparation through the provision of commodities or services;
5. exchange revenues of administrative or judicial departments from stipulated fees, fines or confiscations;
6. exchange revenues from the transfer of such intangible assets as land use right, copy right, trademark license, patent right, non-patented technologies and goodwill;
7. foreign currency profits remitted home by overseas investment enterprises, foreign exchange recovered from foreign economic aid projects, or exchange revenues from overseas assets;
8. exchange revenues from overseas claims; foreign exchange guaranty money returned;
9. exchange revenues from a lease of real estate or from other foreign exchange assets;
10. exchange revenues of insurance companies from underwriting foreign exchange insurance;
11. net revenues from foreign exchange business operations of financial institutions which have obtained the "License for Foreign Exchange Business Operations";
12. exchange revenues from foreign donation, aid or assistance;
13. Other foreign exchange revenues which are required to be settled by SAEC.
Article 6 With respect to foreign exchange revenues listed below, domestic institution (foreign investment enterprises excluded) may apply to SAEC or its branches (collectively, the "Exchange Bureaus") for opening foreign exchange accounts at the authorized foreign exchange banks and handle foreign exchange settlement in accordance with relevant regulations:
1.
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