Notice of the SAFE on Relevant Issues Concerning the Operation of the Foreign Ex

The branches and foreign exchange administration departments of the State Administration of Foreign Exchange in all provinces, autonomous regions, and municipalities directly under the Central Government, the branches of the State Administration of Foreign Exchange in Shenzhen, Dalian, Qingdao, Xiamen, and Ningbo, and all designated Chinese-funded foreign exchange banks:

The Foreign Exchange Business Information System for Direct Investment (hereinafter referred to as the Investment System) has operated steadily since its nationwide promotion on May 1, 2008. During this period, in order to guarantee the integrity of the data in the foreign exchange account system, SAFE personnel have had to input information, such as the foreign-invested enterprise information and the capital account opening approval information, into the foreign exchange account system through the special counter for corporate archives after inputting this information into the Investment System. Now that the systems are operating normally, in order to thoroughly solve the problem of repeated inputs and to realize the sharing of investment information in other business systems, the SAFE Leading Group Office for the Promotion of the Investment System has recently formulated and implemented a solution. We hereby provide notification on the relevant issues concerning the operation of the solution as follows:

I.Foreign-invested enterprise information. After SAFE personnel have completed the registration of foreign-invested enterprise information in the Investment System, they will send this information to the foreign exchange account system through a synchronous software (the software can be downloaded from the SAFE internal portal Web site; the download address is: http//101.1.3.84/tabid/133/In-foID/256969/Default.do ), and need not input this information into the foreign exchange account system through the special counter for corporate archives. The foreign-invested enterprise information that is sent to the foreign exchange account system through the synchronous software will be automatically transmitted to the enterprise database of the SAFEs foreign exchange information archives to be shared with other business systems on the first day after the trading day.

II.Account-opening approval information for the capital account and the special accounts under other investment items. After SAFE personnel have granted  account-opening approval for the capital account and the special accounts under other investment items for an enterprise, they need not input this information into the foreign exchange account system. At the same time, all relevant designated foreign exchange banks shall complete the feedback operations in the Investment System after receiving the approval. Hereafter, the banks shall uniformly fill in an N in the approval number column when reporting enterprise information regarding the opening of the above-mentioned accounts in the foreign exchange account system.

III.All SAFE branches shall, upon receipt of this Notice, immediately forward it to the institutions within their respective jurisdictions, urban commercial banks, rural commercial banks, and foreign-funded banks; all designated Chinese-funded foreign exchange banks shall, upon receipt of this Notice, immediately forward it to their subordinate branches. If any entity encounters problems in the implementation of this Notice, please promptly contact the Leading Group Office for the Promotion of the Investment System. Tel: 010-68402518 010-68402519