Interpretation of the Measures for the Administration of Foreign Exchange in the Bonded Zone: It is reported that the State Administration of Foreign Exchange recently revised the Measures for the Administration of Foreign Exchange in the Bonded Zone issued by 1995 and issued a new Measures for the Administration of Foreign Exchange in the Bonded Zone. Can you introduce the background of the policy?
A: It is China's consistent policy to support the rapid and healthy development of bonded areas. Since the establishment of the Bonded Zone, the State Administration of Foreign Exchange has issued the Interim Measures for Foreign Exchange Management in the Bonded Zone and the Measures for Foreign Exchange Management in the Bonded Zone on 199 1 995 respectively, which have standardized the foreign exchange receipts and payments activities in the Bonded Zone, given certain preferential policies to the foreign exchange receipts and payments management under the current account and trade of enterprises in the Zone, and played an important role in promoting the development of the Bonded Zone. During the Asian financial crisis, some lawless elements used the bonded area management policy to evade foreign exchange, and the Administration of Foreign Exchange issued some policies and measures to curb illegal foreign exchange activities in time.
In recent years, the business environment of the bonded area has been greatly improved, the management policies of various departments of the country have been gradually improved, and the supervision measures and means have been continuously improved. At the same time, the foreign exchange management policies outside the bonded area are also being adjusted and reformed in the direction of constantly facilitating the operation of enterprises. At present, some provisions in the Measures for the Administration of Foreign Exchange in Bonded Zones issued by 1995 have not adapted to the development status of bonded zones or the policies of other administrative departments. Under this new situation, the State Administration of Foreign Exchange has made some adjustments to the foreign exchange management policies in the bonded area and issued the new Measures for Foreign Exchange Management in the Bonded Area (hereinafter referred to as the Measures).
The new "Measures" mainly run through two guiding ideology: first, foreign exchange management policies should be matched with the policies of customs, finance, taxation, foreign trade and economic cooperation departments to promote the development of bonded areas; The second is persistence? Convertibility of current account and strict foreign exchange management of capital account? On the basis of the "Free Trade Zone", certain preferential policies will be implemented for businesses that meet the functions of the Free Trade Zone and are conducive to its standardized and healthy development.
Q: What major adjustments have been made to the Measures for the Administration of Foreign Exchange in Bonded Zones?
A: This policy adjustment is mainly reflected in the following aspects:
The first is to issue foreign exchange registration certificates in the bonded area to enterprises in the bonded area. Enterprises in the bonded area, whether Chinese-funded or foreign-invested enterprises, should go to the foreign exchange bureau for foreign exchange registration and obtain the foreign exchange registration certificate in the bonded area. The foreign exchange bureau will no longer issue the Registration Certificate of Foreign-invested Enterprises to foreign-funded enterprises in the region. The Foreign Exchange Registration Certificate of Bonded Zone (hereinafter referred to as the Registration Certificate) is the identity certificate of bonded zone enterprises in the field of foreign exchange management, which runs through the whole business activities of enterprises. Enterprises must show their registration certificates when handling foreign exchange receipts and payments. The unified management of the registration certificate is conducive to the unified tracking and supervision of enterprises in the bonded area by the foreign exchange bureau, and it is also convenient for banks to identify enterprises in the bonded area.
The second is to standardize the purchase of foreign exchange by enterprises in the bonded area. 1998 during the Asian financial crisis, the state administration of foreign exchange suspended the purchase of foreign exchange by enterprises in the region in order to prevent criminals from using the bonded area to escape foreign exchange. In view of the continuous improvement of the business environment in the bonded area, the new "Measures" liberalized three types of foreign exchange purchases according to the basic functions of the bonded area: processing enterprises and goods distribution enterprises can purchase foreign exchange with RMB obtained from domestic sales of products; Enterprises registered and established in RMB can purchase foreign exchange with the RMB investment funds actually in place in the registered capital; Profits, dividends and bonuses of foreign shareholders of foreign-invested enterprises in the region can be remitted through the purchase of foreign exchange.
Third, relax the management of foreign exchange accounts of enterprises in the bonded area. 1995 when the measures for the administration of foreign exchange in bonded areas were promulgated, in order to prevent illegal flow of funds, only enterprises were allowed to open foreign exchange accounts in financial institutions in bonded areas. In order to facilitate the allocation of funds for enterprises, the new "Measures" abolished the restrictive requirement that enterprises must open accounts in financial institutions in the bonded area, and allowed enterprises in the area to open foreign exchange accounts for current and capital projects in banks where they are registered, and may also open foreign exchange accounts for capital projects outside the registered area upon approval.
Interpretation of the Measures for the Administration of Foreign Exchange in Bonded Areas Question 2: China prohibits foreign currency pricing and settlement. Why can the bonded area be denominated and settled in foreign currency?
A: The bonded area is an economic area under special customs supervision. Goods entering and leaving the bonded area and overseas (first-line) shall be filed by the customs, and no customs duties shall be levied; The goods between the bonded area and the domestic area (second line) shall be subject to customs declaration management. In foreign trade management, except for some special goods, the import and export of general goods are not included in the license and quota management.
Therefore, in line with the customs and foreign trade management measures, the new "Measures" require that all economic exchanges between the bonded area and overseas must be settled in foreign currency, not in RMB; The exchange of bonded goods under the bonded area and foreign trade must be settled in foreign currency, not in RMB; Transactions under non-bonded goods between the bonded area and outside the area can be settled in foreign currency or RMB. Fees charged by administrative agencies in the region shall be settled in RMB; Economic exchanges between institutions in the area and between bonded areas can be settled in foreign currency or RMB.
Q: Can you tell us in detail the regulations on the management of domestic foreign exchange accounts of enterprises in the bonded area?
A: In view of the fact that the trade between enterprises in the bonded area and overseas and outside the area is denominated and settled in foreign currency, the foreign exchange bureau has always allowed enterprises in the bonded area to open foreign exchange accounts without quota management in order to simplify enterprise procedures, reduce exchange losses and speed up capital turnover.
The new "Measures" stipulate that the opening of foreign exchange accounts by enterprises in the region must be approved by the foreign exchange bureau. Foreign exchange accounts are divided into two categories: current account foreign exchange accounts and capital account foreign exchange special accounts. In principle, only one current account foreign exchange account can be opened, and it should be opened in the bank where the enterprise is registered. A special foreign exchange account for capital account can be opened in the bank where it is registered, or it can be opened outside the place of registration with the approval of the foreign exchange bureau where it is opened.
Q: Can you tell us in detail the relevant regulations on foreign exchange purchase by enterprises in the bonded area?
A: Since the economic exchanges between the bonded area and overseas and the goods exchanges between the bonded area and outside the area are all denominated and settled in foreign currencies, enterprises in the bonded area should not have too much RMB income in the course of operation, and they do not need to purchase foreign exchange in RMB for payment. Therefore, the new "Measures" stipulate that enterprises in the region shall not purchase foreign exchange to pay overseas and outside the region from their foreign exchange accounts in principle. At the same time, considering the objective needs of enterprises, three types of foreign exchange purchases have been relaxed:
First of all, since Chinese-funded enterprises, Sino-foreign joint ventures and Sino-foreign cooperative enterprises in the bonded area generally invest in RMB, these enterprises have no foreign exchange income during the construction period, and it is difficult for them to borrow domestic foreign exchange loans, so they are allowed to use RMB registered capital to purchase foreign exchange at home and abroad for payment.
Secondly, because goods distribution enterprises and processing enterprises are the main types of enterprises that meet the functional development of the bonded area, when they distribute products or approved processed products to institutions outside the zone for domestic sales, they will settle in RMB. Therefore, goods distribution enterprises and export processing enterprises in the region are allowed to use the RMB obtained from domestic sales to purchase foreign exchange at home and abroad for payment.
Third, because the remittance of profits, dividends and bonuses of foreign investors in foreign-invested enterprises in the bonded area is the fundamental guarantee for foreign investment, RMB profits, dividends and bonuses obtained by foreign investors in foreign-invested enterprises in the bonded area are allowed to be remitted abroad.
The new "Measures" clarify that enterprises in the bonded area must first use their own foreign exchange for external payment, and if their own foreign exchange is insufficient for payment, they can purchase foreign exchange for payment. Moreover, when enterprises in the region purchase foreign exchange for payment, whether it is foreign exchange expenditure under current account or foreign exchange expenditure under capital account, they should go to the designated foreign exchange bank with valid vouchers and commercial documents, or go to the bank after approval by the foreign exchange bureau.
Q: How are the foreign exchange receipts and payments under the current account of enterprises in the bonded area supervised?
Do we manage foreign exchange on current account in the bonded area? Let go of the first line and control the second line? The principle of. The current account foreign exchange income of enterprises in the bonded area should be deposited in the current account foreign exchange account, and if foreign exchange settlement is needed, it can be handled directly at the bank where it is registered.
In principle, enterprises in the region should first use their own foreign exchange funds to pay foreign exchange payments overseas or outside the region under the current account. If their own foreign exchange is insufficient to pay, according to the provisions of the new measures, processing enterprises and goods distribution enterprises in the region can use RMB earned from domestic sales to purchase foreign exchange and remit it; Enterprises registered and established in RMB can use the RMB investment funds actually in place in the registered capital to purchase foreign exchange and remit it; Profits, dividends and bonuses of foreign shareholders of foreign-invested enterprises in the region may be remitted by purchasing foreign exchange, and other enterprises in the region may not pay by purchasing foreign exchange in RMB.
Interpretation of "Measures for the Administration of Foreign Exchange in Bonded Areas" Three Questions: Do bonded area institutions need to go through the procedures of balance of payments statistics declaration and import and export verification?
A: The balance of payments is a systematic record of all economic transactions between one country's economy and another country's economy in a certain period. Institutions and individuals in the bonded area belong to China residents, and all their economic exchanges with overseas should be declared in accordance with the regulations; There is no need to apply for balance of payments statistics declaration for economic transactions within the bonded area and outside the domestic area.
Customs? First-line filing and second-line customs declaration? Management principle, the new "Measures" stipulates that bonded goods enter the zone from outside the zone or from the bonded zone (second line), and enterprises outside the zone shall go through the formalities of verification of export and import foreign exchange payment in accordance with the regulations, but do not go through the formalities of balance of payments statistics declaration; When the goods are transported from the bonded area to overseas or from overseas to the bonded area (the first line), the enterprises in the area do not need to go through the verification procedures, but should go through the declaration procedures of international payments according to the regulations.
Q: How to supervise the foreign exchange receipts and payments under enterprise capital in the bonded area?
Do we exercise foreign exchange control over the capital account in the bonded area? Take care of the first and second lines and control the first line? The principle of. Therefore, borrowing international commercial loans, foreign exchange (re-lending) loans, issuing foreign currency bonds overseas, providing foreign guarantees, investing overseas, and increasing or reinvesting overseas profits in China are all handled in accordance with the relevant foreign exchange management regulations outside the region.
Enterprises in the area should also apply to the foreign exchange bureau for repayment of foreign debts, foreign exchange (transfer) loans and performance guarantees with the materials stipulated in relevant foreign exchange management regulations outside the area, and handle them after approval by the foreign exchange bureau. But in principle, it should be paid from its foreign exchange account. If the self-owned foreign exchange is insufficient, the goods distribution enterprises in the region can use the RMB obtained from the domestic sales of imported goods, the processing enterprises in the region can use the RMB obtained from the approved domestic sales of export processing products, and the enterprises registered in RMB can use the registered capital of RMB to purchase foreign exchange for payment. Other enterprises in the area shall not use RMB to purchase foreign exchange for payment.