Recent Development On Foreign Exchange Administration In The PRC

The PRC's foreign exchange reserves experienced a continuous drop during the second half of 2016 and hit the psychological level of US$3 trillion for the first time since February 2011. The regulators recently promulgated Circular YinFa [2016] No. 306 - "Notice on Further Clarification of Issues Concerning Overseas RMB Lending by Enterprises in China"《关于进一步明确境内企业人民币境外放款业务有关事项的通知》 , PBOC Order [2016] No.3 "Administrative Measures for the Reporting for Large-Value Transactions and Suspicious Transactions by Financial Institutions"《金融机构大额交易和可疑交易报告管理办法》 and Circular Huifa [2017] No.3 – "Notice on Further Advancing the Reform of Forex Administration and Improving the Review for Authenticity and Compliance"《关于进一步推进外汇管理改革完善真实合规性审核的通知》 .