What are the conditions for domestic banks to provide cross -border RMB settlement?The central bank is clear

Zhongxin Jingwei, June 20th. The central bank website issued a notice on supporting new foreign trade formats cross -border RMB settlement on the 20th. On the basis of the three principles, domestic banks can provide market transaction entities and individuals with regular cross -border RMB settlement services Essence

The notice aims to further play the role of cross -border RMB settlement business to serve the real economy and promote the facilitation of trade and investment, support the development of new foreign trade formats, and implement it from July 21, 2022.

According to the notice, on the basis of "understanding your customers", "understanding your business" and "due diligence", domestic banks can obtain non -bank payment institutions (hereinafter referred to as payment institutions) that can obtain Internet payment business licenses in accordance with the law, and have Legal qualified clearing institutions provide cross -border RMB settlement services for market transaction subjects and individuals.

The main body of this notice refers to the new foreign trade business operators such as cross -border e -commerce, market procurement trade, overseas warehouses and comprehensive foreign trade services enterprises, and consumers who purchase goods or services.

At the same time, domestic banks that cooperate with the payment institution should have experience in conducting cross -border RMB settlement business for more than 3 years, to meet the relevant requirements of the banking bank, and have the ability to review the authenticity and legality of the cross -border RMB settlement business of the payment institution, and have adapting to adapting Payment institutions cross -border RMB settlement business characteristics of anti -money laundering, anti -terrorist financing, and anti -tax evasion system processing capabilities.

The notice is clear that the payment institution that involves providing cross -border RMB settlement services shall meet the following conditions:

(1) Register in China and obtain Internet payment business permits in accordance with the law.

(2) Real cross -border business needs to use RMB for cross -border settlement.

(3) With a sound cross -border business -related internal control system and full -time personnel, they can do a good job of collecting and access management in accordance with the requirements of this notice and relevant regulations, transaction information collection, the authenticity of cross -border business, and the review of legality.

(4) It has specific systems and measures such as anti -money laundering, anti -terrorist financing, and anti -tax evasion of cross -border RMB settlement services; it has efficient cross -border RMB settlement services related to anti -money laundering, anti -terrorist financing, anti -tax evasion system processing and docking capabilities.

(5) Comply with relevant national laws and regulations, operate compliance, and have strong risk control capabilities, and have not seriously violated the regulations in the past two years.

When domestic banks handle cross -border RMB settlement business for payment institutions, they should evaluate the exhibition capacity of the payment institution, sign the cross -border RMB settlement business agreement with the payment institution, clarify the rights and obligations of both parties, and to the deputy to the local China People's Bank of China within 10 working days within 10 working days. Provincial urban center branches above branches (hereinafter referred to as the People's Bank of China branch) will be filed. The domestic bank shall evaluate the exhibition capacity of the filing and payment institutions each year and report to the branch of the local People's Bank of China on a regular basis. If the cross -border RMB settlement business agreement is changed, the domestic bank shall record with the branch of the People's Bank of China within 10 working days. For the termination of the payment institutions or cross -border RMB settlement business agreements that are not met in the third notice of this notice, domestic banks should report to the local People's Bank of China branch within 10 working days and handle the withdrawal of the record.

The notice emphasizes that the development of cross -border RMB settlement business should have a real and legal trading foundation and complies with relevant national laws and regulations. If the domestic bank and the payment institution cooperate with the cross -border RMB settlement business stipulated in this notice, the two parties shall negotiate the establishment of a business authenticity review mechanism to do a good job of the authenticity and legality of the business background. RMB settlement service.

(1) Domestic banks and payment institutions shall strengthen the management of market transaction subjects, collect basic information of market transaction entities in accordance with the law, and regularly verify the update, and establish a negative list of market transaction entities.

(2) Domestic banks and payment institutions shall reasonably determine a single transaction limit for various cross -border RMB settlement business according to the category of market transaction subjects and trading characteristics.

(3) Domestic banks and payment institutions shall establish and improve the review and post -checking system in the matters of cross -border RMB settlement business, and strengthen the monitoring of abnormal transactions such as large transactions, suspicious transactions, and high -frequency transactions. The relevant information will be reserved for at least 5 years.

(4) Payment institutions shall formulate transaction information collection and verification systems. For transactions with high risk of illegal regulations, the payment institution shall require market transaction entities to provide relevant document materials; if the transaction cannot be confirmed and legal, it shall refuse to handle relevant cross -border RMB settlement settlement. business.

(5) If the domestic banks who cooperate with the payment institution find abnormal conditions, corresponding measures should be taken in time, including but not limited to the required payment institutions and transactions to provide real and legal documents for suspicious transactions; Banks should report to the local branch of the local China Bank within 5 working days. Domestic banks bear joint responsibility for the violation of the payment institutions in accordance with the law.

If domestic banks directly provide cross -border RMB settlement services provided by the market transaction entities, refer to this notice.

The notice also emphasizes that when domestic banks and payment institutions provide cross -border RMB settlement services, they should fulfill anti -money laundering, anti -terrorist financing, anti -tax evasion obligations in accordance with the law, and compliance with relevant regulations on cracking down on cross -border gambling, telecommunications network fraud, and illegal payment institutions.

Domestic banks shall submit relevant requirements in accordance with the information management system of RMB cross -border receipt and payment information (RCPMIS), and submit cross -border receipt and payment data in a timely, accurate, and complete manner.EssenceDomestic banks and payment institutions should properly preserve the preparation of the original receipt and payment data of the domestic receipt and payment agencies or individuals before the settlement of centralized receivables or rolling differences.According to the notice, the People's Bank of China and its branches can conduct non -on -site monitoring of new foreign trade formats cross -border RMB settlement business carried out by domestic banks and payment institutions in accordance with the law, and domestic banks and payment institutions should cooperate.

The notice also stated that it supports domestic banks and payment institutions to improve service capabilities, increase support for cross -border RMB settlement business for new foreign trade formats, enrich the supporting products of cross -border RMB settlement business of new foreign trade formats, and reduce the cost of market transaction main business.(Zhongxin Jingwei APP)

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