SAFE Proposes Policy Package to Further Enhance Cross-Border Investment and Financing Convenience

On July 17, the State Council Information Office held a press conference to present data on foreign exchange receipts and payments for the first half of 2026. Xiao Sheng, director of the Capital Project Management Department of the State Administration of Foreign Exchange (SAFE), stated that based on extensive research into the needs of market entities such as banks and enterprises, and in conjunction with the process of high-level opening of capital accounts, SAFE plans to introduce another “policy package” to further enhance the convenience of cross-border investment and financing.

This batch of policies is mainly divided into three categories:

First, enhancing the convenience of direct investment. To address foreign-invested enterprises’ needs for improved investment efficiency, SAFE will further simplify capital account settlement and payment procedures, supporting the stabilization and optimization of foreign investment attraction and utilization. For “going global” enterprises, SAFE will orderly simplify foreign exchange remittance review to ensure efficient and convenient use of funds for normal business operations.

Second, expanding high-level opening of cross-border financing. To broaden the coverage of sci-tech and green financial services, SAFE plans to further expand the scope of entities eligible for cross-border financing convenience policies and promote green foreign debt pilot programs nationwide. Meanwhile, to meet foreign-invested enterprises’ hedging needs and facilitate more flexible cross-border fund allocation by enterprises, SAFE will further optimize macro-prudential management policies for enterprises’ cross-border financing.

Third, optimizing capital account business registration management. Considering enterprises’ practical needs for convenient processing of cross-border investment and financing business, SAFE plans to further transfer some registration business to be handled directly by banks, and increase the types of capital account business available through “online processing,” enhancing the “digitalization” level of foreign exchange management and further reducing enterprises’ operational costs.

“The above reform measures will be implemented upon completion of relevant work procedures and published in accordance with regulations,” Xiao Sheng stated.