(1) foreign exchange and foreign exchange management
Foreign exchange refers to the means of payment and assets that can be used for international settlement. According to China's foreign exchange management regulations, China's foreign exchange includes foreign currency, foreign exchange payment vouchers, foreign currency securities, special drawing rights, European currency units and other foreign currency assets. According to the different characteristics of currencies in international settlement, foreign exchange can be divided into free foreign exchange and bookkeeping foreign exchange.
Foreign exchange management, also known as foreign exchange control, refers to the management system that a country imposes certain restrictions on foreign exchange transactions, loans, transfers, receipts and payments, international settlement, foreign exchange rate and foreign exchange market in order to maintain the balance of international payments. Its purpose is to maintain the balance of international payments, limit capital outflow, prevent foreign exchange speculation and promote the healthy development of domestic economy.
According to the Regulations of People's Republic of China (PRC) on Foreign Exchange Control, China implements the system of statistical declaration of balance of payments, and all units and individuals with balance of payments must declare the balance of payments.
(B) China foreign exchange management system framework
China has been implementing foreign exchange control since the founding of the People's Republic of China. At the beginning of the founding of the People's Republic of China, based on the weak national strength and the severe international and domestic situation at that time, China implemented a strict foreign exchange management system. With the reform and opening up and the continuous development of economy, China has promulgated a series of new laws and regulations on foreign exchange management, and formed a relatively complete legal system on foreign exchange management, including other foreign exchange management laws and regulations, administrative regulations and other normative documents, which indicates that China's foreign exchange management has entered a new era.
At present, the functional department of foreign exchange management in China is the State Administration of Foreign Exchange and its branches.
Two. Foreign exchange management of current account and capital account
China's foreign exchange receipts and payments are divided into current account foreign exchange and capital account foreign exchange, and different management measures are implemented respectively.
(A) current account foreign exchange management
Current account refers to the items that often occur in the balance of payments, including trade balance, labor balance and unilateral transfer.
China implements the system of bank settlement of foreign exchange income under current account, and the current account foreign exchange income of domestic institutions must be remitted back to China and sold to designated foreign exchange banks in accordance with the state regulations on settlement, sale and payment of foreign exchange, or a foreign exchange account can be opened in designated foreign exchange banks with approval. Domestic institutions shall not, in principle, convert foreign exchange funds in current account foreign exchange accounts into time deposits; If it is really necessary to convert it into a time deposit, you must apply to the foreign exchange bureau where the bank is located with legal documents. Domestic institutions can purchase current account foreign exchange from designated foreign exchange banks with valid vouchers and commercial documents according to the national regulations on the management of foreign exchange settlement, sale and payment. Domestic institutions shall go through the formalities of verification of export proceeds in accordance with the provisions of the state on the management of verification of export proceeds and verification of import payments.
Foreign exchange owned by individuals can be held by themselves, deposited in banks or sold to designated foreign exchange banks. The foreign exchange bureau shall implement the guiding quota and verification management for individual residents to purchase foreign exchange. If the amount of foreign exchange purchased is within the prescribed amount, individual residents can go directly to the bank with the prescribed certification materials; If the amount of foreign exchange purchased by individual residents is above the limit, they shall apply to the foreign exchange bureau with the corresponding certification materials, and then go to the bank with the approval documents of the foreign exchange bureau and the corresponding certification materials. If the legitimate RMB income of foreign institutions and personnel in China needs to be remitted abroad, they can pay it at the designated foreign exchange bank with relevant certification materials and vouchers. Foreign exchange remitted or brought into China by foreign institutions and personnel in China can be kept, deposited in banks or sold to designated foreign exchange banks, or remitted or taken out of the country with valid certificates.
(2) foreign exchange management of capital account
Capital account refers to the increase and decrease of assets and liabilities in the balance of payments due to capital output and input, including direct investment, various loans and securities investment.
Unless otherwise stipulated by the State Council, foreign exchange income under domestic institutional capital projects shall be repatriated to China and foreign exchange accounts shall be opened in designated foreign exchange banks; The sale of foreign exchange to designated foreign exchange banks must be approved by the foreign exchange administration.
Foreign exchange management of overseas investment by domestic institutions: before applying to the competent authorities for examination and approval, domestic institutions must be examined by the foreign exchange administration authorities on the source of foreign exchange funds. If a domestic investor invests overseas with foreign exchange funds, it shall deposit 5% of the invested funds with the foreign exchange administration authorities as a deposit for repatriating profits; If the equipment is used as investment, the repatriation profit rate will be paid at 2.5% of the investment in fixed equipment.
Foreign debt refers to the foreign currency debt borne by domestic institutions to non-residents. Foreign debt can generally be divided into loans from foreign governments, loans from international financial organizations and international commercial loans. Loans from international financial organizations and foreign government loans are borrowed by the state; The state manages the balance of medium and long-term commercial loans borrowed by state-owned commercial banks and domestic Chinese-funded enterprises; The sum of the accumulated long-term and short-term foreign debts borrowed by foreign-invested enterprises shall be controlled within the difference between the total investment of the project approved by the examination and approval department and the registered capital. Within the margin, foreign-invested enterprises can borrow foreign debts by themselves. If the difference is exceeded, the total investment of the project must be re-approved by the original examination and approval department. The use of foreign debt funds should comply with the relevant provisions of the state, and the state foreign debt management department should supervise foreign debt and foreign guarantees according to national laws.
If an enterprise with foreign investment terminates its operation according to law or cannot continue its operation due to other reasons, it shall be cleaned up according to law and pay taxes according to regulations. Renminbi belonging to foreign investors after tax payment can be purchased from designated foreign exchange banks or taken out of the country; All foreign exchange owned by China investors shall be sold to designated foreign exchange banks.
Three. Foreign exchange business management of financial institutions
(1) Management of foreign exchange business of financial institutions
According to the regulations of People's Republic of China (PRC) on foreign exchange management, China manages the foreign exchange business of financial institutions as follows. Financial institutions must be approved by the State Administration of Foreign Exchange and obtain a foreign exchange business license; Open accounts for customers and handle related foreign exchange business as required; The foreign exchange deposit reserve should be paid according to the regulations, and the provisions on the management of the ratio of foreign exchange assets to liabilities should be observed, and the bad debt reserve should be established; The RMB funds required by designated foreign exchange banks for foreign exchange settlement business shall use their own funds.
(two) the supervision and management of foreign exchange business of financial institutions
Financial institutions engaged in foreign exchange business shall accept the inspection and supervision of foreign exchange management agencies, and at the same time submit foreign exchange balance sheets, profit and loss statements and other financial and accounting statements and materials to foreign exchange management agencies.
Four. RMB exchange rate and foreign exchange market management
(1) RMB exchange rate management
Exchange rate refers to the conversion ratio between one country's currency and another country's currency. The exchange rate is determined by the relationship between supply and demand in the foreign exchange market and other related political and economic factors, and at the same time plays an important counter-effect on a country's balance of payments and economic development.
China used to have a single exchange rate system. 1979 after the implementation of the reform and opening-up policy, China implemented a managed floating exchange rate system, forming a dual exchange rate situation in which the official exchange rate and the swap market exchange rate coexist. Since 1 994 65438+1October1,China has abolished foreign exchange retention, merged the two exchange rates, and implemented a single and managed floating exchange rate system based on market supply and demand.
Foreign exchange market management
The foreign exchange market refers to the place where foreign exchange is bought and sold, and the trading in the foreign exchange market should follow the principles of openness, fairness, impartiality and good faith.
In China, the currency and form of foreign exchange market transactions are regulated and adjusted by the foreign exchange administration department of the State Council. At present, the currencies allowed to trade are RMB against US dollar, Hong Kong dollar, Japanese yen and Euro. Trading forms include spot trading and forward trading; Only spot transactions are allowed in the inter-bank foreign exchange market, and forward foreign exchange transactions are allowed between banks and customers.
Verb (abbreviation of verb) violates the legal responsibility of foreign exchange management.
Various violations of foreign exchange management generally include evasion, arbitrage, financial disturbance, violation of foreign debt management, violation of foreign exchange account management, violation of foreign exchange verification management, violation of foreign exchange management, etc. China's relevant laws and regulations define these violations of foreign exchange management and stipulate corresponding civil, criminal and administrative responsibilities.