Shanghai FTA Issued The First Financial Rules To Promote Cross-Border RMB Business

< p > < strong > the first financial business rules of Shanghai free trade area will be released.

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< p > yesterday (February 17th), the reporter learned from authoritative sources that today's major a href= "//www.sjfzxm.com/news/index_cj.asp" > Bank < /a > will sign relevant agreements with many Payment institutions and merchants in Shanghai area and formally start the cross-border RMB settlement business in the FTA.

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At the same time, at the same time, the Central Bank of Shanghai headquarters will convene a press conference on the specific implementation rules of cross-border RMB settlement business. P

At the appointed time, the implementation rules of cross-border RMB business are expected to become the first FTA financial business rules promulgated since the formal establishment of the Shanghai free trade pilot area.

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Yesterday, after Deutsche Bank's Citigroup and HSBC, the Deutsche Bank announced that the two way RMB pool business was officially launched in the Shanghai free trade area (P).

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Zhao Qingming, an expert on international financial issues, said in an interview with reporters that in fact, the current policy on cross border use of RMB has been more operable, and now there are some provisions in the process of P.

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< p > < strong > the first batch of banks and Payment institutions now sign up to < /strong > < /p >.

At 9:30 a.m. today, the Shanghai Pudong New Area Waigaoqiao (36.43, -0.720, -1.94%) bonded area will hold cooperation agreements between major banks and Payment institutions on cross-border RMB settlement in the FTA.

The 5 third party payment institutions, including fast money payment, concurrency payment, 2.98,0.020,0.68% payment, UnionPay and Sheng Fu Tong, are going to contract with the cooperative bank to start the pilot of cross-border RMB payment business.

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< p > reporters learned that the first batch of participating banks were Bank of China (2.54, -0.010, -0.39%), industrial and Commercial Bank of China (3.44,0.000,0.00%), China Merchants Bank (10.33, -0.180, -1.71%), Minsheng Bank (7.74, -0.110, -1.40%) and Construction Bank (3.98, -0.030, -0.75%).

At the same time, the implementation rules for the cross border use of RMB are expected to be announced soon, and will explain and guide the specific implementation of cross-border RMB business in Shanghai free trade area.

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< p > after media reports, last Thursday (February 13th), the Central Bank of Shanghai headquarters held the Shanghai free trade pilot area bank business ventilation meeting. It was revealed that the Shanghai free trade pilot area RMB cross-border business implementation details have been confirmed, and will be officially announced.

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"P", according to a person familiar with the matter, the central bank's Shanghai headquarters will convene a press conference on the implementation of cross-border RMB settlement business, "a href=" //www.sjfzxm.com/news/index_q.asp "rules" /a.

At the appointed time, the implementation rules of cross-border RMB business are expected to become the first FTA financial business rules promulgated since the formal establishment of the Shanghai free trade pilot area.

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Last December 2nd, the central bank issued the opinions on financial support for the construction of China (Shanghai) free trade pilot area (hereinafter referred to as the "opinion"), pointing out the four general directions of financial reform in the free trade area, namely, exploring the facilitation of investment and financing exchange, expanding the cross border use of RMB, steadily promoting the marketization of interest rates, and deepening the reform of foreign exchange management. P

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After P, cross-border RMB business was first launched.

In December 5th, the central bank and the Free Trade Area Management Committee signed a project contract for cross-border RMB capital pools and cross border RMB loans to organize 7 banks and 7 enterprises.

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< p > this time the RMB cross-border business rules are expected to fall first, and will be the first time to announce the financial policy rules of the FTA.

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< p > strong > RMB cross-border business is more operational than /strong > /p >

< p > the expansion of RMB cross border use mainly includes cross border RMB settlement business, RMB external loan business, two-way capital pool business and so on.

The RMB settlement business mainly includes the collection and payment instructions submitted by the banking financial institutions in Shanghai for the institutions and individuals in the region. It directly handles cross-border RMB settlement business under direct investment and direct investment, and provides RMB settlement services for cross-border e-commerce (trade in goods or services).

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< p > as for cross-border RMB loans, China and foreign funded enterprises, non bank financial institutions and other economic organizations registered in the FTA can, according to the need of operation, be incorporated into the foreign currency funds from abroad.

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< p > chief economist Lian Ping told reporters that the cross-border use of RMB has largely been liberalized and many policies have been promulgated. The FTA is moving forward on the previous basis. The action is not too big, but it is conducive to the investment and financing of enterprises.

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< p > Zhao Qingming said in an interview with reporters that the current policy on cross border use of RMB has been relatively operational, and now there are some provisions on the process.

"The rules for estimation will be specified in the specific operation process."

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< p > foreign banks have joined the competition in addition to Chinese banks taking the lead in cross-border RMB business.

Yesterday, Deutsche Bank announced following the Citigroup and HSBC that it will launch a two-way Renminbi pool business in the Shanghai free trade area, providing regular and centralized collection and payment services for its affiliated enterprises both inside and outside the country.

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"P" Deutsche Bank said that the two-way cross-border RMB pool will further optimize the cash liquidity and capital management of Shanghai's a href= "//www.sjfzxm.com/news/index_s.asp" > Free Trade Zone < /a >, while supporting offshore business development through more offshore financing channels.

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