Beijing, December 29 (Xinhua) -- The State Administration of Foreign Exchange (SAFE) promulgated the Measures for the Administration of Foreign Exchange Business of Banks (for Trial Implementation) on December 29 to promote the reengineering of commercial banks' foreign exchange business processes, further enhance banks' ability to conduct foreign exchange business, and create an institutional environment compatible with high-level opening-up.
Wang Chunying, deputy director and spokesperson of the State Administration of Foreign Exchange, introduced that the measures strengthen the risk responsibility of the pre-event and post-event links by building a whole-process business development framework that includes pre-event customer identification and classification, in-process differentiated review, and post-event monitoring reports, break the previous path dependence of "risk prevention" on the in-process link, further improve the efficiency of bank foreign exchange business, and enhance the level of cross-border investment and financing facilitation. In the early stage, pilot projects have been carried out in 4 commercial banks, and the pilot results have been good.
Wang Chunying said that the measures optimize the supply of foreign exchange management system and create an environment of "more honest and convenient" foreign exchange use, while consolidating the risk prevention responsibilities of banks to achieve "both liberalization and control".
It is understood that the measures will come into force on January 1, 2024, and will respect the objective differences in the scale of banks' cross-border business, business model adjustment costs, etc., and will be gradually implemented based on the premise of banks' voluntariness. "Foreign exchange bureaus at all levels will provide corresponding guidance and support to banks to transform their systems and improve business processes, so as to reduce the cost of trial and error for banks. Wang Chunying said. (ENDS).