中国人民银行令[2002]第4号

颁布日期：20021116 　实施日期：20021201 　颁布单位：中国人民银行

[2002] No.4

Interim Measures for the Administration of the Operations of Foreign Exchange Purchase and Sale Conducted by Designated Foreign Exchange Banks was approved on the 39th official meeting held by the PBC on October 8， 2002. It is hereby announced to be effective as from December 1， 2002.

Governor： Dai Xianglong

November 16， 2002

Interim Measures for the Administration of the Operations of Foreign Exchange Purchase and Sale Conducted by Designated Foreign Exchange Banks

Chapter I General Provisions

Article 1 In accordance with the Regulations on the Exchange System of the People's Republic of China （hereinafter referred to as regulations on the exchange system） and other related laws and regulations， the Measures is formulated with a view to regulating the operations of foreign exchange purchase and sale conducted by the designated foreign exchange banks， clarifying the principles of the administration of the self-satisfying foreign exchange purchase and sale， and ensuring the stable operation of the foreign exchange market.

Article 2 The PBC and its branches as well as the State Administration of Foreign Exchange （SAFE） and its branches are the administration agencies responsible for supervising the operations of foreign exchange purchase and sale conducted by the designated foreign exchange banks. The PBC， together with the SAFE， shall be in charge of granting and revoking the franchise of the operations of foreign exchange purchase and sale. The SAFE shall be responsible for the daily supervision over the operations of foreign exchange purchase and sale， prescription and adjustment of the positions of foreign exchange purchase and sale， and off-site inspection. The on-site inspection shall be carried out by the SAFE together with the PBC. The SAFE is entitled to reject the applications of financial institutions for the operations of foreign exchange purchase and sale， suspend or revoke the franchise of the said operations of the designated foreign exchange banks that have violated relevant regulations.

Article 3 The definitions of the terms in the Measures are as follows：

1. Designated foreign exchange banks refer to the financial institutions approved by the PBC to undertake the operations of foreign exchange purchase and sale， including both Chinese-capital financial institutions and foreign-capital financial institutions. The Chinese-capital financial institutions refer to the policy banks， wholly state-owned commercial banks， joint stocks commercial banks and their branches， city commercial banks， rural commercial banks， as well as other franchised financial institutions. The foreign-capital financial institutions refer to the foreign banks， branches of foreign banks， equity joint-venture banks， and other franchised financial institutions as stated in the Regulations on the Administration of Foreign-capital Financial Institutions of the People's Republic of China.

2. Operations of foreign exchange purchase and sale with clients“ refer to the conversions between Renminbi and freely convertible currencies conducted by the designated foreign exchange banks for their clients.

3. Operations of self-satisfying foreign exchange purchase and sale refer to the conversions between Renminbi and freely convertible currencies resulted from the demand of the designated foreign exchange banks.

4. Positions of foreign exchange purchase and sale（hereafter referred to as positions） refer to funds prescribed by the SAFE， held by the designated foreign exchange banks， and specially used for foreign exchange purchase and sale， including the specific amount and stipulated floating range.

Article 4 For conducting the operations of foreign exchange purchase and sale， the financial institutions shall apply to the PBC and obtain the franchise of designated foreign exchange bank. The financial institutions which are not the designated foreign exchange banks are prohibited to undertake the operations if foreign exchange purchase and sale.

Article 5 When undertaking of the operations of self-satisfying foreign exchange purchase and sale and the operations of foreign exchange purchase and sale with clients， the designated foreign exchange banks shall observe the provisions of the Measures and other relevant regulations concerning the administration of the operations of foreign exchange purchase and sale， control and prepare statistics separately for the two kinds of operations.

Article 6 The designated foreign exchange banks shall abide by the rules on the administration of the positions， sell the surplus positions in time through the inter-bank market， and shall not， without the SAFE's approval， use the positions to cover the self-satisfying foreign exchange purchase and sale under capita and financial account.

Article 7 The designated foreign exchange banks shall establish separate accounting items for the operations of foreign exchange purchase and sale， under which， operations of foreign exchange purchase and sale with clients， operations of self-satisfying foreign exchange purchase and sale， redistribution of the positions with their own system， and “long” or “short” position settlement through the inter-bank market shall be booked separately.

Article 8 The designated foreign exchange banks shall establish a system for keeping the vouchers and bills related to the operations of foreign exchange purchase and sale， and keep for no less than 5 years related vouchers and bills separately for their operations of foreign exchange purchase and sale with clients and operations of self-satisfying foreign exchange purchase and sale.

Article 9 The designated foreign exchange banks shall submit correctly and in a timely fashion to the SAFE the data of foreign exchange purchase and sale， the positions as well as other relevant statistical tables and materials prescribed by the SAFE in accordance with laws and regulations.

Article 10 A system of recording shall apply to the designated foreign exchange banks' large amount transactions of foreign exchange purchase and sale.

Article 11 The SAFE shall exercise a system of examination in the form of exams， questionnaires etc. to test the competence of personnel （department managers or presidents in charge） in charge of the operations of foreign exchange purchase and sale of the designated foreign exchange banks.

Chapter II Market Access and Exit of the Operations of Foreign Exchange Purchase and Sale

Article 12 A financial institution satisfying the following conditions may apply for the franchise of the operations of foreign exchange purchase and sale：

1. Established upon the approval of the PBC and having obtained the franchise of financial business；

2. Having solid management structure and well defined internal control systems， in eluding： （1） Operating rules on the operations of foreign exchange purchase and sale； （2） Statistical and reporting systems for the operations of foreign exchange purchase and sale； （3） System for the management of the positions； （4） System for the management of vouchers and bills related to foreign exchange purchase and sale； （5） Separate accounting items and approach for foreign exchange purchase and sale， and so on.

3. Professionals having been trained by the SAFE and passed the relevant exams of the SAFE；

4. Having a system for receiving and sending quotations of foreign exchange purchase and sale of foreign exchange；

5. Having the electronic equipment and communication facilitates necessary for real time inquiry of the electronic ledger of the import and export declaration forms， submission of the data of balance of payments statistical reporting and of foreign exchange purchase and sale；

6. Where a branch of a financial institution applies for the franchise of the said operations， the authorization from its head office or the superior （the department in charge） is needed；

7. Well managed existing operations of foreign exchange with sound internal control， being able to rectify and redress its previous acts violating foreign exchange rules in accordance with the requirements of the PBC or SAFE；

8. Other conditions as prescribed by the PBC or SAFE.

Article 13 When applying for the franchise of the operations of foreign exchange purchase and sale， a financial institution shall present to the PBC the following documents， and sent the duplicates to the SAFE.

1. An Application report for undertaking operations of foreign exchange purchase and sale；

2. A feasibility study report on undertaking the operations of foreign exchange purchase and sale；

3. The name list CVs， and exam-passed certificates issued by the SAFE of the professionals who will take on operations of foreign exchange purchase and sale；

4. A brief introduction to electronic and communication facilitates as well as premises necessary for the operations of foreign exchange purchase and sale；

5. The rules and internal control system for the operations of foreign exchange purchase and sale；

6. Other documents as required by the PBC or SAFE.

In the event that a branch of a financial institution applies for the franchise of the operations of foreign exchange purchase and sale， besides the documents mentioned above， the approval document from its head office or the superior （the department in charge） shall be presented.

Article 14 The procedure for the examination and approval of application for undertaking the operations of foreign exchange purchase and sale is as follows：

1. The applications for launching the operations of foreign exchange purchase and sale by the head offices of policy banks， wholly state-owned commercial banks， and commercial banks with joint stocks shall be examined and approved by the PBC together with the SAFE

2. Applications for launching the operations of foreign exchange purchase and sale by the branches of the policy banks， wholly state-owned， and commercial banks with joint stocks； city and rural commercial banks； other Chinese-capital financial institutions and foreign-capital banks shall be examined and approved by the local branch or operation administration department of the PBC together with the local branch or exchange administration offices of the SAFE； the branches and operation administration offices of the PBC may， according to the supervising ability of the key sub-branches under their jurisdiction， authorize the key sub-branches to examine and approve， jointly with the local sub-branches of the SAFE， the application for launching the said operations by the sub-branches of banks， city commercial banks， rural commercial banks， other Chinese-capital financial institutions and foreign-capital banks under their jurisdiction.

Article 15 In case the approval of an application for undertaking the operations of foreign exchange purchase and sale is made by the PBC consulting with the SAFE， the SAFE shall issue its view to the PBC within 15 working days from the date of receiving the documents to be countersigned.

Article 16 The designated foreign exchange banks franchised to handle the operations of foreign exchange purchase and sale， before the official start of the said operations， shall have their electronic equipment and communication facilities prescribed by paragraph 5， article 12 or this Measure inspected by the local SAFE office.

Article 17 In application for terminating the operations of foreign exchange purchase and sale， the designated foreign exchange banks shall present the PBC with the following documents：

1. An application report for terminating the operations of foreign exchange purchase and sale （including the reason for termination， measures and procedure for handling related assets and liabilities after termination）；

2. The approval document from its board of directors， head office or the superior （the department in charge）；

3. Other documents as required by the PBC and SAFE.

When examining and approving the applications for terminating the operations of foreign exchange purchase and sale of the designated foreign exchange banks， the PBC shall send to the SAFE a duplicate of the approval.

Chapter III Administration of the Positions

Article 18 The designated foreign exchange bank shall apply to SAFE for the prescription of the positions within 30 working days from the date of receiving the franchise of the operations of foreign exchange purchase and sale.

Article 19 The SAFE shall exercise limit control over the positions of the designated foreign exchange banks and check them on a daily basis.

Article 20 The jurisdictions of prescribing the positions are as follows：

1. The positions limit for the head offices of the wholly state-owned commercial banks， commercial banks with joint stocks and policy banks shall be prescribed by the SAFE；

2. The positions limit for the city commercial banks， rural commercial banks， other Chinese-capital financial institutions， and foreign-capital banks shall be prescribed by the local branch of the SAFE and reported to the SAFE for record；

Article 21 The SAFE offices shall prescribe the positions limit for the designated foreign exchange banks according to the principle of legal person， and shall not prescribe separate limits for their branches and sub-branches.

The positions of the branches of the designated foreign exchange banks shall be allocated and collectively managed by their head offices within the limits prescribed by the SAFE offices. The result of allocation shall be submitted to the local SAFE offices in the domiciles of the branches for record. The local SAFE offices shall be in charge of the daily administration of the positions of the local designated foreign exchange banks.

Article 22 The basis for the prescription and adjustment of the positions shall be is as follows：

1. The scale of the paid-in capital or the operating funds of the designated foreign exchange bank；

2. The number of the branches and sub-branches；

3. The average of daily net foreign exchange purchase；

4. The maximum amount of daily sale of foreign exchange；

5. The maximum amount of single purchase or sale of foreign exchange；

6. The quality of the submission of the data of daily positions；

7. The national macro-economic conditions， such as the level of foreign exchange reserves and interest rates of the local and foreign currencies， and so on；

8. Other factors.

Article 23 Having been approved by SAFE， a designated foreign exchange bank may employ its Renminbi operating funds to buy foreign exchange through inter-bank foreign exchange market as its positions.

Upon the receipt of the approval of the SAFE office concerned， a designated foreign exchange bank shall purchase foreign exchange as its positions with its Renminbi operating funds through inter-bank foreign exchange market within 30 working days . If it fails to do so within the time limit， the SAFE office's approval shall automatically expire on its due date.

Article 24 Where the designated foreign exchange bank needs to adjust the positions limit due to dramatic changes in the volume of its foreign exchange purchase and sale， it shall present to the concerned SAFE office a written application. Without the approval from the SAFE office the designated foreign exchange bank shall not adjust the positions limit arbitrarily.

Article 25 After receiving the franchise of designated foreign exchange bank， the head office of a designated foreign exchange bank shall apply to the China Foreign Exchange Trading Centre for the membership of inter-bank foreign exchange market； where a branch of a designated foreign exchange bank applies for such membership， it shall obtain the authorisation from its superior （the department in charge）。 After receiving the membership of inter-bank foreign exchange market， the branch and sub-branch of the designated foreign exchange bank may long or short its positions either through the inter-bank foreign exchange market or within its own system. Without such membership， the branch and sub-branch shall long and short its positions only within its own system.

Article 26 A designated foreign exchange bank shall manage its positions on a daily basis， keep its positions within the limit prescribed by the SAFE office， and present a report on its daily positions to the SAFE office concerned on a daily basis.

Longs and shorts of the positions between the designated foreign exchange banks shall be undertaken only through the inter-bank foreign exchange market.

Article 27 The designated foreign exchange bank's positions for each business day shall be calculated in US dollar. The loss or gain resulted from the conversion shall be recorded in other items of currency exchange， and shall not be incorporated into the positions.

Article 28 Zero-position management shall be adopted by the designated foreign exchange bank whose positions limit has not been prescribed by the SAFE office concerned. Its net purchase or sale of foreign exchange on every business day shall be settled through the interbank foreign exchange market on the next business day.

Article 29 In the event that the designated foreign exchange bank applies for terminating its operations of foreign exchange purchase and sale on its own initiative， or the PBC or SAFE revokes its franchise of the operations of foreign exchange purchase and sale due to its operation violating regulations， the said bank shall apply to the SAFE office concerned within 30 working days from the termination. After receiving the approval from the SAFE office， the designated foreign exchange bank shall clear its positions up to the liquidation.

Chapter IV Administration of the Operations of Self-satisfying Foreign Exchange Purchase and Sale

Article 30 Unless otherwise stipulated， after reporting to the SAFE office concerned for record， the designated foreign exchange bank shall sell its net foreign exchange profits through inter-bank foreign exchange market within 3 months after the end of the current fiscal year， or within 10 working days after the annual profit distribution arrangement is approved by the board of directors.

The net foreign exchange profits of a foreign-funded bank without the license of Renminbi business do not have to be sold.

Article 31 The Renminbi net gains of a foreign bank with the license of Renminbi business may be converted into foreign exchange and remitted abroad. The conversion and remittance shall be reported to the local SAFE office for record.

Article 32 The self-satisfying commodity import of a designated foreign exchange bank shall， according to relevant provisions related to factorage import， be conducted by the foreign trade company with the franchise of factorage foreign trade. The designated foreign exchange bank shall not make outward payment directly.

Article 33 The payment to overseas for self-satisfying service by the designated foreign exchange bank may be made either directly from its foreign exchange account， or purchased foreign exchange in accordance with relevant laws and regulations.

Article 34 The payment of a designated foreign exchange bank for its self-satisfying transaction under capital and financial account approved by the SAFE office concerned shall be made with its own foreign exchange operating funds.

In the event that a bank has advanced foreign exchange for its client in the business of foreign exchange loan， international settlement， foreign exchange credit card， and so on， and the client fails to pay back on time， the bank offset the loss with its own foreign exchange paid-in capital or operating funds in accordance with relevant laws and regulations， and shall not purchase foreign exchange without approval or use the foreign exchange sold by its clients for such purpose.

The shortfall of foreign exchange capital or operating funds of the head office of a designated foreign exchange bank， upon the approval of the SAFE office concerned， may be made up by purchasing foreign exchange through the inter-bank foreign exchange market.

Chapter V Administration of the Operations of Foreign Exchange Purchase and Sale with Clients

Article 35 The designated foreign exchange bank shall carry out the operations of foreign exchange purchase， sale， and payment with clients verify the prescribed valid proofs and business bills， sign and seal thereon and keep them for future check in accordance with relevant rules on foreign exchange purchase， sale， and payment.

Article 36 A designated foreign exchange bank shall， on the basis of the renimibi base rates quoted by the PBC for the current day and the prescribed floating range， quote the exchange rates of Renminbi against foreign currencies and undertake the operations of foreign exchange purchase and sale of foreign exchange with clients

Article 37 Foreign exchange sale and purchase by a financial institution without the franchise of designated foreign exchange bank shall be handled through the designated foreign exchange bank.

Article 38 The exchange house conducting the operations of exchange between Renminbi and foreign currencies for individuals shall get the authorization from the designated foreign exchange bank. Its daily purchase and sale shall be incorporated into the authorizing bank's statistics of foreign exchange purchase and sale， Foreign exchange more or less than the limit of its revolving funds shall be sold/bought by the authorizing bank via the interbank foreign exchange market.

Chapter VI Penalty Provisions

Article 39 In violation of the Measures or other relevant provisions related to foreign exchange purchase， sale and payment， the designated foreign exchange bank shall be penalized in accordance with the Regulations on the Exchange System and other relevant regulations.

In the event that one of the following cases occurs to the designated foreign exchange bank， the PBC shall revoke its franchise of the operations of foreign exchange purchase and sale：

1. Been taken-over by the PBC due to statutory reasons；

2. Dismissed or been declared to bankrupt according to law；

3. The franchise of the operations of foreign exchange been revoked by the PBC according to law.

Article 40 In the event that one of the following cases occurs to the designated foreign exchange bank， SAFE shall suspend or revoke its franchise of the operations of foreign exchange purchase and sale in addition to giving it penalties according to the Regulations on the Exchange System：

1. Handling foreign exchange purchase， sale or payment of foreign exchange for clients without prescribed valid proofs and business bills， and the cumulative amount exceeding the equivalent of 1 million US dollar；

2. Handling foreign exchange purchase， sale or payment for clients without full set of in the prescribed valid proofs and business bills and the cumulative amount exceeding the equivalent of 5 million US dollar；

3. Handling foreign exchange sale of foreign exchange for clients beyond the amount indicated by the valid proofs and business bills and the cumulative amount exceeding the equivalent of 5 million US dollar；

4. Handling self-satisfying foreign exchange purchase and sale that shall be reported to the SAFE office concerned for approval without approval；

5. The amount of purchase/sale of foreign exchange in violation of regulations accounts for more than 10 percent of its sum purchase/sale of foreign exchange for the current year；

6. The quantity of deals of purchase/sale of foreign exchange in violation of regulations accounts for more than 10 percent of its sum deals of purchase/sale of foreign exchange for the current year；

7. Other serious acts violating the regulations on purchase and sale of foreign exchange.

Article 41 In the event that a designated foreign exchange bank commits one of the following acts in violation of the regulations governing the positions， the SAFE office concerned shall suspend or revoke its franchise of operations of foreign exchange purchase and sale， in addition to giving it penalties in accordance with the Regulations on the Exchange System：

1. fails to clear its long or short positions through the inter-bank foreign exchange market for no less than 5 working days consecutively；

2. fails to clear its long or short positions through the inter-bank foreign exchange market for more than ten times cumulatively within a quarter；

3. for a consecutive three months， error occurs in the positions statistics for no less than four times per month；

4. Other serious acts violating the regulations governing the positions.

Article 42 In the event that a designated foreign exchange bank violates the report system for foreign exchange purchase and sale by failing to submit statistical tables and materials and have the abnormal circumstances recorded， the SAFE office concerned shall penalize it in accordance with the Regulations on the Exchange System and other relevant regulations. In the event that a designated foreign exchange bank fails for several times within one year to submit the statistical tables and materials as required， and have the large amount purchase and sale of foreign exchange recorded in accordance with relevant regulations， the SAFE office concerned shall suspend or revoke its franchise of the operations of foreign exchange purchase and sale.

Article 43 In the event that the designated foreign exchange bank and exchange houses violate the Measures and other regulations governing foreign exchange purchase， sale and payment， the competent agencies shall penalize the person who is directly in charge or responsible in accordance with the Provisions on the Administrative Sanctions to the Financial Institutions and Direct Responsible Persons Violating Provisions on the Administration of Foreign Exchange Purchase and Sale， and the Interim Provisions on the Administrative or Disciplinary Sanctions Given to the Crimes of Defrauding， Illegal Arbitrage， Evasion， Illegal Purchase and Sale of Foreign Exchange， and Other Acts Violating the Regulations on Foreign Exchange Administration， and so on.

Chapter VII Supplementary Provisions

Article 44 The regulations governing forward foreign exchange purchase and sale and other derivatives involving the exchange between Renminbi and foreign currencies shall be formulated separately by the PBC.

Article 45 The Measures shall be interpreted by the PBC.

Article 46 The Measures shall enter into force as of December 1， 2002. In case of any conflict with previous rules and regulations， the Measures shall prevail. Article 4 of the Rules for the Implementation of the Foreign-capital Bank's Operations of Foreign Exchange Purchase， Sale and Payment promulgated on June 18， 1996 by the PBC， the Announcement of the PBC on Incorporating the Enterprises with Foreign Investment into the System of Foreign Exchange Purchase and Sale through Banks promulgated on June 20， 1996， and the Official Reply of the General Affairs Department of the SAFE on Issues Related to Franchising the Branches and Sub-branches of the Wholly State-owned Commercial Banks to Undertake the Operations of Foreign Exchange Purchase and Sale （ HuiZongFu [2001] No.1） shall be nullified at the same time.