On 28 August 2019, the Shenzhen branch of the State Administration of Foreign Exchange launched a trial scheme to facilitate payments using foreign exchange earnings under capital accounts. Highlights are as follows:
- eligible enterprises may use foreign exchange earnings for domestic expenditure directly at designated banks, without providing certifying documents before each transaction;
- foreign exchange earnings refer to foreign exchange, foreign exchange funds in domestic accounts, funds in domestic reinvestment accounts, foreign currencies, external debts and transferred funds from overseas listings; and
- when providing such service, designated banks will make payment first then conduct sampling inspection later, instead of conducting inspection before payment under the existing arrangement.
For details, please see:
“Notice of Trial Scheme to Facilitate Payment Using Foreign Exchange Earnings under Capital Accounts” (Chinese Version Only)