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Circular of the Shanghai Headquarters of the People’s Bank of China on Supporting Expanded Cross-Border Use of RMB in the China (Shanghai) Pilot Free Trade Zone

china-shftz.gov.cn Updated:2017-07-24

VIII. Cross-border RMB Settlement Service

1. The China Foreign Exchange Trade System (CFETS) (also being the National Interbank Funding Center) shall provide RMB- denominated financial services in the PFTZ for assets transactions between the PFTZ and offshore markets to expand the cross-border use of RMB.

2. The Shanghai Gold Exchange (SGE) shall provide RMB- denominated services in the PFTZ for precious metal trading, delivery and settlement between the PFTZ and offshore markets, promoting the use of RMB in international precious metal market.

IX. Information Reporting and Submission

All cross-border RMB business, as well as receipt and payment information, shall be reported and submitted to the RMB cross-border receipt and payment information management system in an accurate, complete and timely manner, and shall be processed for corresponding international payments statistics reporting.

X. Anti-money Laundering, Counter-terrorist Financing and Anti-tax Evasion

When providing relevant cross-border RMB services for financial institutions and enterprises in the PFTZ, banks shall specify in the service agreements that each party shall (i) fulfill the obligations and duties concerning anti-money laundering, counter-terrorist financing and anti-tax evasion as stipulated in relevant regulations; (ii) keep relevant transaction records and vouchers to ensure that the transaction can be retraced; and (iii) coordinate with the relevant authorities to conduct inspections.

The Shanghai Headquarters of the People’s Bank of China

February 20, 2014

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