chapter I general provisions article 1 these regulations are formulated in order to strengthen foreign exchange management, promote the balance of international payments and promote the healthy development of the national economy. Article 2 The foreign exchange administration department of the State Council and its branches (hereinafter referred to as foreign exchange administration departments) shall perform their foreign exchange administration duties according to law and be responsible for the implementation of these Regulations. Article 3 foreign exchange as mentioned in these regulations refers to the following means of payment and assets expressed in foreign currency that can be used for international settlement:

(1) foreign currency cash, including paper money and coins;

(2) foreign currency payment vouchers or payment instruments, including bills, bank deposit vouchers, bank cards, etc.;

(3) foreign currency securities, including bonds and stocks;

(4) Special Drawing Rights;

(5) other foreign exchange assets. Article 4 These Regulations shall apply to the foreign exchange receipts and payments or foreign exchange business activities of domestic institutions and individuals, as well as the foreign exchange receipts and payments or foreign exchange business activities of overseas institutions and individuals in China. Article 5 The State shall not restrict the regular international payment and transfer. Article 6 The State implements a system of statistical declaration of international payments.

the State Council's foreign exchange administration department shall make statistics and monitor the international balance of payments, and publish the international balance of payments regularly. Article 7 Financial institutions engaged in foreign exchange business shall open foreign exchange accounts for customers in accordance with the provisions of the foreign exchange administration department of the State Council, and handle foreign exchange business through the foreign exchange accounts.

financial institutions engaged in foreign exchange business shall submit the foreign exchange receipts and payments and account changes of customers to the foreign exchange administration authorities according to law. Article 8 The circulation of foreign currency is prohibited in the People's Republic of China, and it is not allowed to be denominated and settled in foreign currency, unless otherwise stipulated by the state. Article 9 The foreign exchange income of domestic institutions and domestic individuals may be transferred back to China or deposited abroad; The conditions and time limit for repatriation or deposit abroad shall be stipulated by the foreign exchange administration department of the State Council according to the balance of payments and the needs of foreign exchange administration. Article 1 The foreign exchange administration department of the State Council shall hold, manage and operate the national foreign exchange reserves according to law and follow the principles of safety, liquidity and appreciation. Article 11 When there is or may be a serious imbalance in the balance of payments, and when there is or may be a serious crisis in the national economy, the state may take necessary measures such as safeguarding and controlling the balance of payments. Chapter II Administration of Foreign Exchange under Current Account Article 12 Foreign exchange receipts and payments under current account shall have a true and lawful trading basis. Financial institutions engaged in the settlement and sale of foreign exchange shall, in accordance with the provisions of the foreign exchange administration department of the State Council, conduct a reasonable review of the authenticity of the transaction documents and their consistency with foreign exchange receipts and payments.

the foreign exchange administration authorities have the right to supervise and inspect the matters specified in the preceding paragraph. Article 13 Foreign exchange income from current account can be retained or sold to financial institutions engaged in foreign exchange settlement and sale in accordance with relevant state regulations. Article 14 The foreign exchange expenditure under current account shall be paid in its own foreign exchange with valid documents or by purchasing foreign exchange from financial institutions engaged in settlement and sale of foreign exchange in accordance with the regulations of the foreign exchange administration department of the State Council on the payment and purchase of foreign exchange. Article 15 The quota for carrying and declaring foreign currency cash into and out of the country shall be stipulated by the foreign exchange administration department of the State Council. Chapter III Administration of Foreign Exchange under Capital Account Article 16 Foreign institutions and individuals who invest directly in China shall register with the foreign exchange administration authorities after being approved by the relevant competent authorities.

overseas institutions and individuals engaging in the issuance and trading of securities or derivatives in China shall abide by the provisions of the state on market access and register in accordance with the provisions of the foreign exchange administration department of the State Council. Article 17 Domestic institutions and individuals who invest directly abroad or engage in the issuance and trading of overseas securities and derivatives shall register in accordance with the provisions of the foreign exchange administration department of the State Council. Where it is required by the state to obtain prior approval or filing from the relevant competent authorities, approval or filing procedures shall be handled before foreign exchange registration. Article 18 The State exercises scale management over foreign debts. Borrowing foreign debts shall be handled in accordance with the relevant provisions of the state, and foreign debts shall be registered with the foreign exchange administration organs.

The foreign exchange administration department of the State Council is responsible for the statistics and monitoring of foreign debts nationwide, and regularly publishes the foreign debts. Article 19 To provide external guarantee, an application shall be submitted to the foreign exchange administration, which shall make a decision on approval or disapproval according to the assets and liabilities of the applicant. If the state stipulates that its business scope needs to be approved by the relevant competent authorities, it shall go through the approval procedures before applying to the foreign exchange administration. After signing the foreign guarantee contract, the applicant shall go through the registration of foreign guarantee with the foreign exchange administration.

the provisions of the preceding paragraph shall not apply to those who have been approved by the State Council to provide external guarantees for lending with loans from foreign governments or international financial organizations. Article 2 Banking financial institutions may directly provide commercial loans abroad within the approved business scope. Other domestic institutions providing commercial loans abroad shall apply to the foreign exchange administration, which shall make a decision on approval or disapproval according to the applicant's assets and liabilities; If the state stipulates that its business scope needs to be approved by the relevant competent authorities, it shall go through the approval procedures before applying to the foreign exchange administration.

commercial loans provided overseas shall be registered in accordance with the provisions of the foreign exchange administration department of the State Council. Article 21 The retention or sale of foreign exchange income from capital projects to financial institutions engaged in foreign exchange settlement and sale business shall be subject to the approval of the foreign exchange administration, unless it is not required by the state regulations.