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China's forex regulator improves rules to facilitate foreign trade

Xinhua News,BEIJING
2020-04-14 19:54

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BEIJING, April 14 (Xinhua) -- China's foreign exchange regulator said Tuesday that it will streamline or ease some rules from Tuesday to facilitate cross-border trade and investment.

Under the new rules, eligible companies will be able to use capital they have raised overseas for domestic payments without providing relevant certificates beforehand, the State Administration of Foreign Exchange (SAFE) said on its website.

This came as the COVID-19 pandemic, which has spread to over 200 countries and regions, has wreaked havoc on the global economy and dimmed the growth prospects of global trade and investment.

SAFE eased rules to allow export companies to purchase foreign exchange for the repayment of their foreign currency loans onshore. Previously, export companies had to use foreign exchange they reserved or proceeds from their exports to repay such loans.

The administration also encouraged banks to support export-oriented small businesses by extending their foreign currency loans and streamlining application procedures.




 
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