The year 2015 marks the first year to promote rule of law in China in an all-round way.The SAFE has abolished and nullified more than 700 documents on foreign exchange administration since 2009, and recently released the Circular of the State Administration of Foreign Exchange on Abolishing and Nullifying 50 Regulatory Documents on Foreign Exchange Administration (Huifa No. 17 [2015]) to step up efforts to streamline laws and regulations. To be specific, 27 documents are to be abolished and 23, nullified.

These 50 documents chiefly include: first, those that are not in conformity with the foreign exchange administration philosophies and to be streamlined or changed to show the fruits of the reforms in key areas of foreign exchange administration such as capital account. In recent years, the SAFE has streamlined administration and delegated power to lower-level authorities by vigorously promoting the foreign exchange administration reform in direct investment, external debts, external guarantee, capital market and sales and settlement of foreign exchange by banks, to release the dividends of the reform and serve the development of the real economy.Of the 50 documents to be abolished and nullified this time, 50% are those to be abolished or declared invalid after the foreign exchange administration reform for capital account or financial institutions.Second, those that are not inconformity with the new requirements for acquiring foreign exchange administration statistical data and to be streamlined to show the continued improvement of statistical monitoring of cross-border capital flows.In recent years, the SAFE has built unified data acquisition regulations by building or improving the statistical monitoring of cross-border capital flows and accelerating the integration and upgrading of the IT system for foreign exchange administration, to enhance the efficiency and offer more convenience. Of the 50 documents to be abolished and nullified this time, 50% are those to be abolished or declared invalid after the reconstruction of the IT system and adjustment of data acquisition rules.

Next, the SAFE will continue with the law-based administration, enhance the top-down design of the laws and regulations on foreign exchange administration, and implement the long-term mechanism for streamlining the laws and regulations to facilitate understanding and application by banks, companies, and individuals of the laws and regulations on foreign exchange administration, and to promote trade and investment facilitation.