State Administration of Foreign Exchange, Circular on the Determination of Short-term Foreign Debt Quotas of Financial Institutions in 2009
国家外汇管理局关于2009年度金融机构短期外债指标核定情况的通知
May 09, 2009 | BY
clpstaff &clp articles &Safe raises banks' short-term foreign debt quotas to boost trade financing.
Issued: March 17 2009
Applicability: Requirements other than those specified in the Circular shall be handled in accordance with relevant provisions of the State Administration of Foreign Exchange, Issuance of the Circular on Short-term Foreign Debt Quotas of Financial Institutions in 2008 (Article 9).
Main Contents: The short-term foreign debt quota for Chinese-invested banks nationwide in 2009 is determined to be US$9.86 billion. The 2009 short-term foreign debt quota for certain foreign-invested banks with legal personality and branches of foreign-invested banks that implement centralised administration of short-term foreign debt quota is determined to be US$14.57 billion. The regional quota for Chinese-invested and foreign-invested banks with legal personality within the jurisdiction of a foreign exchange branch or office, and branches of foreign-invested banks that have not yet implemented centralised administration of short-term foreign debt quota is determined to be US$8.45 billion (Article 1).
All types of short-term liabilities owed to external parties by financial institutions shall be subject to the quotas for short-term foreign debt balances except in the following circumstances:
(1) accepted usance letters of credit with a term of 90 days or less that are not yet paid and overseas advance payments with a term of 90 days or less;
(2) deposits of non-resident individuals of US$500,000 or less of the same bank with legal personality; and
(3) balances of all types of designated accounts for foreign investors opened in the name of non-residents approved by the State Administration of Foreign Exchange (Safe) (Article 2).
Chinese-invested and foreign-invested financial institutions shall use the whole of the increments in their 2009 quotas to support import and export trade financing of enterprises in China (Article 3). The increments in the 2009 regional quotas shall be granted in priority to banks with large amount of trade settlement to ensure that such increments are used to support import and export trade financing of enterprises in China (Article 5). Safe shall delegate to its branches and offices the authority to determine short-term foreign debt quotas for certain Chinese-invested and foreign-invested financial institutions with legal personality that have relatively fewer branches and smaller scale of assets. The quotas for such financial institutions shall be determined by the Safe branch or office of the place where their head office with legal personality (or the branch managing short-term foreign debts) is located (Article 6).
Related Legislation: Issuance of the Circular on Short-term Foreign Debt Quotas of Financial Institutions in 2008.
clp reference:3610/09.03.17promulgated:2009-03-17This premium content is reserved for
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