By Chen Yun, Janet Gu, Wang Rong King & Wood Mallesons’ Finance & Capital Market Group

O陈运n December 25, 2015, People’s Bank of China (PBOC) promulgated the Circular on Improving Individual Bank Account Services and Strengthening Account Management (the “New Individual Bank Account Circular”). In short, the New Individual

By King & Wood Mallesons’ Banking Group

1. Overview

  • On 20 February 2014, the People’s Bank of China (PBOC) issued the Measures Supporting the Expansion of Cross-border Use of Renminbi in the China (Shanghai) Pilot Free Trade Zone (《关于支持中国(上海)自由贸易试验区扩大人民币跨境使用的通知》)(PBOC Notice). The PBOC Notice provides various policy support in relation to the cross-border use of Renminbi (RMB) in the China (Shanghai) Pilot Free Trade Zone (FTZ), including: (1) cross-border RMB settlement for current account and direct investment; (2) individual RMB settlement account; (3) offshore RMB borrowings by FTZ entities; (4) two-way cross-border RMB cash pooling; (5) centralized current account RMB payments and collections; (6)RMB settlement for cross-border e-commerce; and (7) cross-border RMB trading.
    Continue Reading PBOC Issued Detailed Rules to Expand Cross-border Use of Renminbi in the Shanghai Free Trade Zone

By Jack Wang, Chen Yun  King & Wood Mallesons’ Banking Regulation & Compliance Group

In the midst of its rapid economic development, the People’s Republic of China (PRC), the second largest economy and the largest trading nation in the world, has finally determined to change its domestic currency market, which used to be pretty much closed to foreign investors over a long period of time and accordingly, promulgated a series of laws and regulations to ease the previously tight foreign exchange (FX) control in the mainland. These laws and regulations were put in place to propel the internationalisation of Chinese Renminbi (RMB) by expanding the use of RMB under both current and capital accounts for the purpose of ultimately achieving an international status for the RMB matching the economic status of the PRC in the global economy. This chapter endeavours to outline a legislative landscape of RMB internationalisation from the following main aspects:
Continue Reading The PRC Legislative Landscape for RMB Internationalisation

by King and Wood’s Finance Group

Further to Circular No. 145, on 14 October 2011 PBOC released new rules on RMB FDI, the Measures on Administration of the RMB Settlement in relation to Foreign Direct Investment ("PBOC Rules") to roll out PBOC’s detailed management system.  The PBOC Rules cover all the FDI aspects denominated in RMB, including capital injection, payment of purchase price in the acquisition of PRC companies, repatriation of dividends and distribution as well as RMB denominated cross-border loans.  The PBOC Rules adopt similar methodology applied by SAFE to foreign currency FDI but appear to be more friendly.  On the same day, MOFCOM also issued a circular ("MOFCOM Circular") to clarify certain issues in relation to cross-border RMB FDI transactions.
We highlight the following aspects we deem of significance:Continue Reading RMB FDI Goes to Fast Track

金杜律师事务所 融资

继银发(2011)145号文之后, 2011年10月14日中国人民银行就人民币外商直接投资出台新规则《外商直接投资人民币结算业务管理办法》(“人行办法”), 规定了有关人民币结算的具体操作。 人行办法涉及到以人民币进行外商直接投资的方方面面, 包括资本注入、并购中国企业购买价款的支付、股息和利润分配的汇出以及人民币跨境贷款。  人行办法延续了外管局对外汇直接投资的监管思路, 但程序更为简便。 同一天, 商务部也出台通知(“商务部通知”)规定了跨境人民币直接投资交易的相关问题。

我们认为比较重要的方面包括:Continue Reading 人民币外商直接投资进入快车道


自2009年7月跨境贸易人民币结算试点工作启动以来,相关业务的容量、复杂性及银行业务经历了飞速的发展。在2年的时间内,试点范围在20多个省(区、市)得以实施,中国人民银行计划在今年内将试点范围扩大至全国。为满足企业和银行对政策透明度的强烈需求,外汇管理局、商务部等监管当局已经颁布了一系列的规则和指引以促进人民币跨境业务。2011年6月8日,中国人民银行颁布了《中国人民银行关于明确跨境人民币业务相关问题的通知》(银发[2011]145号)(简称“通知”)。该《通知》从积极的角度阐明了与跨境人民币业务相关的若干重大问题。迄今为止,该《通知》被市场称为“实现人民币国际化的重大进步”。 Continue Reading 中国人民银行新规则助推人民币跨境业务

By King & Wood’s Banking Group

Since the launch of the pilot program of RMB settlement in cross-border trade transactions in July 2009, the volume and complexity of the said transactions and the ancillary banking businesses have been rapidly increasing. During the past two years, the pilot program was carried out in 20 provincial regions. PBOC plans to expand the pilot program to the whole country within this year. In order to satisfy business and banking industry’s strong needs for policy transparency, regulatory authorities such as SAFE and MOFCOM have issued various rules and guidelines aiming to streamline cross-border flows of RMB. On June 8, 2011, PBOC published a most recent circular (1)("Circular") which clarifies several major issues relating to cross-border RMB transactions. Industry feedback regarding the Circular has been positive and the Circular has been interpreted as "a significant step towards the internationalization of RMB" by the market.Continue Reading PBOC New Rules to Boost RMB Cross-border Transactions

By Mark Schaub, Partner, Corporate, King & Wood Shanghai

On May 19, 2010, the People’s Bank of China (“PBOC”) issued a new set of regulations for online payment service providers that will take effect on September 1, 2010. The new regulations bring payment services within the banking regulatory scheme.

Continue Reading China Retailers Beware…New Payment Restrictions may Impact your Revenue Channels!