(“Notice”) (国家外汇管理局关于进一步改进和调整资本项目外汇管理政策的通知), issued by the State Administration of Foreign Exchange (“SAFE”)
The Notice aims to further relax the policies on foreign exchange administration of capital account and facilitate overseas trade and investment, and proposes reform of the procedures of the following foreign exchange activities:
- Simplifies the administration of financial leasing companies’ claims against foreign debtors.
- Simplifies the administration of the transfer of domestic non-performing assets to overseas investors.
- Relaxes the management of upfront costs of domestic institutions’ direct outbound investment.
- Relaxes the administration of lending activities by domestic enterprises to overseas.
- Relaxes the administration of dividend distributions by Chinese companies to foreign shareholders and proposes removing the bank’s requirement on reviewing audit report and capital verification report for dividends over USD 50,000.
- Simplifies the administration of foreign exchange sales and price collection for transfer of personal assets.
- Optimizes the management of the Foreign Exchange Business Permit for Securities Business of securities companies.
Date of issue: January 10, 2014. Date of effectiveness: February 10, 2014.