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Is there a principal delivery forward foreign exchange transaction in China? What is a non-deliverable forward foreign exchange transaction?
There is no such transaction in China for the time being.

Non-deliverable forward foreign exchange transaction is an offshore financial derivative. Based on different views on the exchange rate, the two sides signed a non-deliverable forward transaction contract to determine the forward exchange rate, term and amount. When the contract expires, only the difference between the forward exchange rate and the actual exchange rate needs to be settled, which has nothing to do with the principal amount and the actual income and expenditure.