PBOC issues draft guidelines on imrpoving cross-border yuan policy

The People’s Bank of China (PBOC) issued draft guidelines on improving cross-border yuan policy, stabilizing foreign investment and foreign trade, with the key highlights found below (via Reuters).

Will support banks to provide yuan payment services for cross-border e-commerce companies.

Will relax restrictions on use of yuan income under some capital account categories.

Will remove restrictions on yuan funds reinvestment by some foreign-funded firms.

Will improve overseas yuan borrowing business management by domestic firms.

Will improve overseas yuan lending business management by domestic firms.

Will support individuals to conduct cross-border yuan business.