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RMB FDI (Foreign Direct Investment) Pilot Is Expected To Be Launched In The Year

2011/4/20 10:46:00 57

Cross Border Trade Foreign Direct Investment RMB Guarantee

Li Bo, director of the two division of the monetary policy of the people's Bank of China, said on the 18 th that the people's Bank of China is working closely with the Ministry of Commerce and the State Administration of foreign exchange for the study and formulation.

RMB FDI pilot policy

It is expected to be launched in the year.

In addition, PBC is working with the NDRC and the State Administration of foreign exchange to study whether RMB guarantee is included in the management of foreign debt.

Li Bo was held during the Canton Fair.

Cross-border Trade

The above statement was made at the RMB settlement forum.

He said that in January, the central bank issued documents allowing the approval of domestic enterprises to use Renminbi for overseas direct investment, which is commonly known as RMB ODI.

However, there is no relevant policy for overseas enterprises to use Renminbi to carry out domestic investment (RMB FDI).

This is mainly because the current FDI policy is quite perfect, and the RMB FDI policy needs to link up with the existing FDI policy.

To ensure the authenticity of RMB FDI pactions, it is a test for regulators.

"We have conducted two rounds of research with relevant departments to understand that the demand for RMB FDI is very strong.

The general framework of RMB FDI pilot policy has been formed, but there is a need for consensus between banks and enterprises.

If it is fast, it can be released in the next one or two quarters. "

Li Bo disclosed that before the launch of the pilot policy, the central bank will select a project that meets the macroeconomic regulation and control policies and industrial policies to conduct a pilot case of RMB FDI.

When it comes to whether RMB guarantee is included in short-term foreign debt management, Li Bo said that the central bank is consulting with the State Administration of foreign exchange and the national development and Reform Commission, hoping to clarify relevant opinions on RMB guarantee as soon as possible.

Li Bo believes that the regulatory authorities should unify the statistical monitoring of RMB foreign debt and foreign currency debt, but in terms of scale management, there should be a proper distinction between the management of RMB foreign debt and the management of foreign currency foreign debts.

Because RMB foreign debt does not involve currency mismatch.

The repayment of foreign currency debt will not impact the exchange rate, but once the scale of foreign currency debt is large and there is currency mismatch, when foreign currency withdraws, it will create pressure on the value of the local currency.

RMB guarantee letter

It is a written promise that the bank should bear the responsibility or financial compensation liability for the amount of Renminbi payment when it is requested by the applicant of the letter of guarantee to issue the letter of guarantee to the beneficiary of the guarantee and agree to the obligation or obligation of the insured applicant who fails to perform a non financing paction.

For the offshore RMB market and offshore market, there is interest rate difference and exchange rate difference. Li Bo said that the price gap between the RMB and offshore markets is normal, indicating that China's capital flow control policy is effective.

The regulatory authorities can regulate the price differentials of the two markets.

At present, the price difference between the two markets is within the scope of affordability.