Zhongxin Finance, May 26. According to the website of the State Administration of Foreign Exchange on the 26th, the Ministry of Commerce, the People's Bank of China, and the State Administration of Foreign Exchange issued the "Notice on Supporting Foreign Economic and Trade Enterprises to Improve Exchange Rate Risk Management", requiring the improvement of exchange rate hedging products and services to further enhance the convenience of RMB cross-border settlement.
The three departments require that the branches of the People's Bank of China and the foreign exchange bureau in various places should encourage banks to provide products and services that meet market demand based on the "three principles of business development" and "implement policies tailored to the characteristics of enterprises".
Banks are encouraged to continuously improve the service capabilities of primary institutions for RMB against foreign exchange derivatives, innovate products and service channels, and support small and medium-sized banks to cooperate in handling RMB against foreign exchange derivatives services, so as to meet the diversified exchange rate hedging needs of enterprises.
Further facilitate enterprises to use RMB in cross-border trade and investment, and encourage enterprises to avoid exchange rate risks through RMB cross-border pricing and settlement.
Banks are supported to simplify the settlement process through electronic document verification and other means, and improve the efficiency of cross-border RMB settlement in new trade formats.
Carry out cross-border RMB centralized collection and payment under the current account of multinational enterprise groups in an orderly manner, and pilot projects to facilitate cross-border RMB settlement business for high-quality enterprises, etc., and support banks to provide enterprises with convenient and efficient cross-border RMB investment and financing services based on the needs of the real economy.