Provincial, Autonomous Region, and Municipal Branches, Foreign Exchange Departments, Shenzhen, Dalian, Qingdao, Xiamen, and Ningbo Branches of the SAFE and designated national foreign exchange banks:

To be in line with the new international standards for BOP statistics and to enhance the monitoring of cross-border capital flows, the State Administration of Foreign Exchange (SAFE) has revised and released the Classifications and Codes for Transactions of Foreign-Related Receipts and Payments. Meanwhile, the new Industrial Classifications and Codes for national economic activities shall be used according to the new national standards. The two types of classifications and codes will come into force as of May 1, 2014. Implementation matters are hereby notified as follows:

I. Adjustments of the involved codes

1. Classifications and codes for transactions of foreign-related receipts and payments are used to declare transactions of foreign-related receipts and payments. Transactions of foreign-related receipts and payments refer to BOP transactions and other economic transactions in relation to foreign-related receipts and payments. These revised and newly released classifications and codes for transactions of foreign-related receipts and payments are the 2014 version (hereinafter referred to as the new transaction codes, see Appendix 1). Refer to Appendix 2 for the Table of Codes for Transactions of Foreign-related Receipts and Payments (Receipts/Payments). The transaction codes for domestic receipts and payments under verification of trade in goods, domestic receipts and payments of foreign exchange under verification of non-trade in goods, and settlement and sales of foreign exchange under the foreign exchange account shall be included within the above.

2. Codes for BOP transactions. According to the Circular of the SAFE on the Issuance of the Operating Procedures for the Declaration of BOP Statistics via Financial Institutions (Huifa No. 22 [2010]), non-banking institutions and individuals shall declare the BOP statistics for foreign-related receipts or payments via domestic banks and the involved BOP transaction codes shall be adjusted to the new transaction codes. The codes for BOP transactions adopt part of the content of the Classifications and Codes for Transactions of Foreign-Related Receipts and Payments: codes for receipts including “121050,” “121060,” “121070,” “521010,” “621050,” “621060,” “621070,” “622040,” “622050,” “622060,” “622070,” “821041,” “821042,” “822041,” “822042,” “822050,” and transaction codes for receipts starting with 92 are not adopted; and codes for payments including “121050,” “121060,” “121070,” “521010,” “621040,” “621050,” “621060,” “621070,” “622040,” “622050,” “622060,” “622070,” “821041,” “821042,” “822041,” “822042,” “822050” and transaction codes for payments starting with 92 are not adopted.

3. Transaction codes under the capital account that will be adjusted according to the new transaction codes. These codes are the transactions codes beginning with 5, 6, 7, 8, and some codes starting with 9 in the Classifications and Codes for Transactions of Foreign-Related Receipts and Payments. Some codes starting with 9 refer to transaction codes for receipts, excluding “921030,” “922010,” “922090,” “925010,” “925020,” “929030,” and “929080,” and transaction codes for payments, excluding “921030,” “922090,” “925010,” “925020”, “929030,” and “929080”.

4. The Industrial Classifications and Codes for National Economic Activities shall be used according to the new national standards (GB/T 4754-2011) (hereinafter referred to as the new industrial codes, see Appendix 3).

II. Implementation steps for changing the codes

1. Business changes. Designated foreign exchange banks (hereinafter referred to as the “banks”) shall use the new transaction codes and the adjusted codes for BOP transactions, the transaction codes under the capital account, and the new industrial codes in their own systems starting from May 1, at 00:00. Banks shall guide the declaration entities to make the declarations using the new codes beginning from May 1.

2. System changes. The SAFE will store the interface data, including the BOP, company profile, and account information in the database using the old codes for the last time on April 30, at 11:59 pm and shall provide error feedback on time. Starting from May 1, at 00:00, the banks shall fill in or submit the interface data using the new codes (including the data not declared before May 1 or the data declared before May 1 but needing to be modified) and thereafter the business systems of the SAFE will no longer receive or use the old codes.

With no other elements requiring re-submissions due to these changes, the historical data (including the business and filing data) shall not be re-submitted using the new codes.

III. Other related matters

1. Banks can change their historical data based on the concordance table for the old and new codes, which will be available at www.qzterui.com and http://banksvc.safe.

2. Some business systems of the SAFE will be shut down from May 1 to May 3 for the change of the old codes to the new codes. More information will be released at www.qzterui.com and http://banksvc.safe.

3. An application has been submitted to the National Financial Standardization Technology Committee and the Standardization Administration Committee of the People's Republic of China for the current revisions of the recommended Classifications and Codes for Transactions for Foreign-Related Receipts and Payments (GB/T 19583—2004).

4. Upon receipt of this Circular, branches and Foreign Exchange Departments of the SAFE shall immediately forward it to the banks under their jurisdiction and provide training for the declaration entities under their jurisdiction.

Please contact the SAFE if you have any questions during implementation. For the new transaction codes, please call 010-68402448; for the new industrial codes, please call 010-68402459; and for technical support, please call 010-68402459.

Appendices:

1. Classifications and Codes for Transactions of Foreign-Related Receipts and Payments (2014)

2. Table of Codes for Transactions of Foreign-related Receipts and Payments (Receipts/Payments)

3. New and Altered Industrial Classifications and Codes of National Economic Activities (GB/T 4754-2011)

State Administration of Foreign Exchange

April 16, 2014