In order to give full play to the role of cross-border finance in supporting the high-quality development of the "Two Zones" in Beijing, 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, 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 Two, the main policies for the further facilitation of cross-border investment and financing will be elaborated.

Ⅰ. Reforming the management mode of foreign debts

The scope of the one-time foreign debt registration pilot program shall be extended to the China (Beijing) Pilot Free Trade Zone. Eligible non-financial enterprises in the China (Beijing) Pilot Free Trade Zone can apply for one-time foreign debt registration in accordance with the registration facilitation procedures, and the pilot enterprises therefore will no longer need to register their foreign debts in sequence separately. This policy will greatly simplify the application procedures of cross-border financing for enterprises, bring down the costs of foreign debt management for enterprises, and further facilitate cross-border financing for enterprises.

Support non-financial enterprises in placing multiple foreign debts under the management of one single foreign debt account. When a non-financial enterprise in Beijing completes the foreign debt registration after the signing of a foreign debt contract, the receipts and disbursements of the newly registered foreign debt can be handled through the existing foreign debt account of the enterprise, and multiple foreign debts can be managed by one single foreign debt account with no need of opening a new foreign debt account for the newly registered foreign debt. This policy will further simplify the process of foreign debt registration, greatly shorten the time for account opening, and improve the efficiency of fund entry into account.

Ⅱ. Facilitating the use of capital-account incomes

When eligible enterprises in Beijing use the capital-account incomes and its renminbi funds obtained from the foreign exchange settlement for domestic payments, the "review before payment" shall be replaced by "payment before random examination" which means that the payment can be processed directly at banks with the Order of Payment with no need of submitting documents on the authenticity and compliance certifications of each fund payment. With the simplified procedures and streamlined process, the level of facilitation will be significantly improved. Meanwhile, banks shall be encouraged to simplify the document review process, and allowed to merge the Order of Payment with the Application for Funds Transfers (Domestic).

Ⅲ. Exploring the cross-border transfer of assets

Banks shall be supported to handle the applications for the external transfer of qualified non-performing credit assets and trade finance assets, with a view to further broadening channels for the external transfer of domestic credit assets.

Foreign investors shall be encouraged to carry out cross-border renminbi settlement in the physical asset trading, equity transfer, capital increase and share expansion through platforms such as the China Beijing Equity Exchange in accordance with laws and regulations. For the foreign investors using renminbi in a transaction concerning the transfer of state-owned property rights of domestic enterprises, if the transaction is concluded, the renminbi margin remitted to the China Beijing Equity Exchange and other designated institutions can be transferred to the corresponding dedicated margin account as the money paid for subsequent property rights transactions or as capital contributions to the subsequent establishment of foreign-invested enterprises.

China Beijing Equity Exchange shall be allowed to conduct the settlement of foreign exchange in the trading center and the transfer of foreign exchange funds in the original currency for cross-border physical asset trading. For the external transfer of physical assets by domestic enterprises, China Beijing Equity Exchange can collect the margin and transaction payments from an overseas transferee, and transfer the foreign exchange funds or the renminbi funds obtained from foreign exchange settlement to a domestic transferor or its agent to ensure the security of settlement funds and reduce the transaction costs of enterprises.

Ⅳ. Optimizing the handling of applications for some capital account services

The applications of eligible non-financial enterprises for the deregistration of overseas loans under domestic guarantees, overseas loans granting, and foreign debts shall be directly handled by banks, so that the "costs incurred by the physical visits of enterprises to government service halls" can be saved, and the handling process of applications for cross-border investment and financing services can be continuously optimized.

The applications of domestically listed companies for involving their foreign employees in share incentive plans and the applications of domestic enterprises for the registration of overseas listing, and the alteration or cancellation of registration shall be directly handled by banks, and relevant application materials shall be simplified, so that the handling of service applications can be further facilitated.