In order to give full play to the role of cross-border finance in supporting the high-quality development of the Integrated National Demonstration Zone for Opening up the Services Sector and the China (Beijing) Pilot Free Trade Zone (the "Two Zones"), the Operations Office (Beijing) of the People's Bank of China and the Beijing Foreign Exchange Management Department of the State Administration of Foreign Exchange jointly issued the Opinions of Supporting the Building of the "Two Zones" in Beijing through Facilitating Cross-border Trade, Investment, and Financing in the Region (Yin Guan Fa [2022] No. 56), which includes 16 measures for promoting the facilitation of cross-border trade, investment and financing in Beijing. Important policies will be interpreted in three parts. In Part Three, the main policies for promoting cross-border trade will be introduced.

I. Facilitating cross-border payments for credible enterprises

After verifying the authenticity, legality, reasonableness and logicality of transactions, designated pilot banks can implement an optimized review process for foreign exchange receipts and payment documents for corresponding pilot enterprises along with certain other facilitation measures. Prior registration is not required to cancel a remittance resulting from tardiness. The review for customs declaration forms shall be exempt from the payment of foreign exchange for goods. In the event that un-related domestic and overseas institutions advance or allocate expenses to the other party or the period for advancing or allocating expenses exceeds 12 months, pilot banks shall process this procedure for the domestic and overseas institutions.

For credible enterprises, pilot banks in Beijing Municipality can process Renminbi cross-border settlements for trade in goods or services on the basis of a statement of cross-border Renminbi settlement receipts/payments or receipt/payment instructions without a need to review of the authenticity of materials for each cross-border settlement. This will result in a reduction to settlement costs and improved cross-border settlements.

II. Facilitating foreign exchange receipts and payments for trade in services

Online verification of tax filing of foreign exchange payments for service trade will be optimized. Online verification of banks will be unified to achieve cross-regional and cross-bank tax filing verification.

A single filing will be allowed for multiple foreign exchange payments. If several foreign exchange payments are required under a single contract, it will only need to be filed before the first payment.

The scope of the exemption from tax filing should be expanded. Tax filing should be canceled for non-trade and non-operating foreign exchange payments for state organs, public institutions and social groups included in the financial budget. This should likewise apply to foreign investors who reinvest income legally obtained by direct investment in China.

Online services should be made more accessible. Applicants can choose to process tax filing for foreign exchange payments online or at the tax service hall in accordance with their actual needs. After the tax filing, applicants, following the relevant regulations of foreign exchange management, can handle the payments in banks with the code of tax filing form and corresponding verification code.

III. Supporting the innovative development of new business forms and models of trade

Once the identity of a customer has been confirmed, the electronic transaction information collected, and the authenticity of the trade verified, banks, in accordance with relevant regulations, can process the foreign exchange and Renminbi cross-border settlement for the entities of cross-border e-commerce, foreign trade services, and other new forms of business in trade based on the electronic information of the transaction. The cross-border settlement will be more convenient, and costs can be reduced to promote the healthy development of new business forms in trade.

New forms of offshore international trade for the innovative development of the real economy will be supported by encouraging banks to optimize their financial services and improve review efficiency based on their principles of business development, credit classification of customers and banks' business modes. It is suggested that banks offer facilitation to credible and law-abiding enterprises for their authentic new forms of offshore international trade that are in compliance with laws and regulations.

IV. Providing convenience for enterprises contracting overseas projects in the utilization of cross-border funds to Go Global

Contracting enterprises must be allowed to centralize the management of foreign funds. Domestic institutions contracting overseas projects can register and open an account for centralized management of overseas funds in the same country (or region). This will include foreign currency or local currency exchange for overseas projects. Funds will be well reallocated to make most of the idle funds and improve the application efficiency.

Pilot projects of the facilitation of Renminbi cross-border settlement for credible enterprises contracting overseas projects will be given support in Beijing Municipality. Banks, according to receipt/payment instructions, are supported to directly handle the domestic payments of the funds obtained from the Renminbi cross-border settlement of goods and service trade and the capital projects for pilot enterprises. The amount of advance remittance will be expanded to CNY 10 million for a single overseas contracting project of enterprises. The Renminbi cross-border receipts and payments between enterprises and their overseas branches, project departments and relevant institutions will be supported. Besides, the support of fund remittance from overseas same name Renminbi account has effectively facilitated the project operation and the payments of funds for enterprises contracting overseas projects in countries along the Belt and Road.