01 September 2014

KWM Connect: A roadmap to cross-border finance II - An update

Thank you for your interest in our publication “A Roadmap to Cross-border Finance”. There have been developments since the date of that publication which substantially change the PRC cross-border finance regime. In this issue, we update that publication to reflect the changes and subsequent practices that have been adopted by market participants.

The key changes:

  • ƒFacilitate cross-border credit support payable in foreign exchange (FX):
    • parties are generally free to provide and take cross-border security without SAFE’s prior approval
    • the security provider may perform its payment obligations without SAFE’s prior approval if the security is registered
    • onshore individuals may give cross-border credit support;
  • ƒRelax inbound finance for corporate entities incorporated in the China (Shanghai) Pilot Free Trade Zone (Shanghai FTZ)
  • ƒExpand the FX and Renminbi (RMB) centralised management pilot programmes across China.

Key contacts

Share on LinkedIn Share on Facebook Share on Twitter Share on Google+
    You might also be interested in

    We summarise the Hong Kong Association of Banks’ latest FAQs on some thornier AML/CFT compliance issues.

    06 August 2019

    With more concerns about enforcing the PRC Property Law (article 219), certain default rules are recently published under our advisory experience.

    26 July 2019

    The Hong Kong SFC recently issued two circulars to clarify the requirements for online account opening by licensed corporations.

    11 July 2019

    We set out the SFC’s expectations for licensed corporations’ policies, procedures and controls to mitigate the risk from third-party transactions.

    02 July 2019

    You may also be interested in...

    Legal services for your business

    This site uses cookies to enhance your experience and to help us improve the site. Please see our Privacy Policy for further information. If you continue without changing your settings, we will assume that you are happy to receive these cookies. You can change your cookie settings at any time.

    For more information on which cookies we use then please refer to our Cookie Policy.