Circular of the State Administration of Foreign Exchange on Further Facilitating Foreign Exchange Settlement for Capital Funds of Insurance Companies
Circular of the State Administration of Foreign Exchange on Further Facilitating Foreign Exchange Settlement for Capital Funds of Insurance Companies
Circular of the State Administration of Foreign Exchange on Further Facilitating Foreign Exchange Settlement for Capital Funds of Insurance Companies
Hui Fa [2019] No. 17
May 31, 2019
Branches or administrative offices of the State Administration of Foreign Exchange in all provinces, autonomous regions and municipalities directly under the Central Government, branches of the State Administration of Foreign Exchange in Shenzhen, Dalian, Qingdao, Xiamen and Ningbo, all insurance group (holding) companies, insurance companies, insurance asset management companies and all designated Chinese-funded foreign exchange banks,
With a view to further streamlining administration and delegating power to the lower levels, improving foreign exchange control of insurance business, and preventing financial risks, relevant issues concerning foreign exchange control of insurance business are hereby notified as follows:
I. An insurance company may, in light of its actual business needs, directly handle the settlement for foreign exchange capital funds and foreign exchange funds raised via overseas listing through a financial institution engaged in foreign exchange business (hereinafter referred to as "financial institution").
1. The insurance company shall, prior to the end of January each year, report to the local branch or administrative office of the State Administration of Foreign Exchange (hereinafter referred to as "local branch") its foreign exchange settlement plan for the current year and the foreign exchange settlement situation of the previous year, while submitting the following materials:
(1) description of situation, including but not limited to the source of foreign exchange funds, the amount and purpose of foreign exchange settlement, the mismatch between assets denominated in RMB and foreign currencies, and the use of foreign exchange settlement funds in the previous year; and
(2) relevant supporting materials.
With respect to foreign exchange settlement beyond the reporting plan and that with a single amount equivalent to USD50 million or more, the insurance company shall submit its report to the local branch in advance.
2. Relevant financial institutions shall follow such business principles as "know your customer (KYC)", "know your business (KYB)" and "customer due diligence (CDD)" to review the authenticity of the foreign exchange settlement.
......
Hui Fa [2019] No. 17
May 31, 2019
Branches or administrative offices of the State Administration of Foreign Exchange in all provinces, autonomous regions and municipalities directly under the Central Government, branches of the State Administration of Foreign Exchange in Shenzhen, Dalian, Qingdao, Xiamen and Ningbo, all insurance group (holding) companies, insurance companies, insurance asset management companies and all designated Chinese-funded foreign exchange banks,
With a view to further streamlining administration and delegating power to the lower levels, improving foreign exchange control of insurance business, and preventing financial risks, relevant issues concerning foreign exchange control of insurance business are hereby notified as follows:
I. An insurance company may, in light of its actual business needs, directly handle the settlement for foreign exchange capital funds and foreign exchange funds raised via overseas listing through a financial institution engaged in foreign exchange business (hereinafter referred to as "financial institution").
1. The insurance company shall, prior to the end of January each year, report to the local branch or administrative office of the State Administration of Foreign Exchange (hereinafter referred to as "local branch") its foreign exchange settlement plan for the current year and the foreign exchange settlement situation of the previous year, while submitting the following materials:
(1) description of situation, including but not limited to the source of foreign exchange funds, the amount and purpose of foreign exchange settlement, the mismatch between assets denominated in RMB and foreign currencies, and the use of foreign exchange settlement funds in the previous year; and
(2) relevant supporting materials.
With respect to foreign exchange settlement beyond the reporting plan and that with a single amount equivalent to USD50 million or more, the insurance company shall submit its report to the local branch in advance.
2. Relevant financial institutions shall follow such business principles as "know your customer (KYC)", "know your business (KYB)" and "customer due diligence (CDD)" to review the authenticity of the foreign exchange settlement.
......