Q & A on Foreign Direct Investment Policy

来源: 《CHINA FOREX》2017年第3期 作者:Liu Yi

Q: What do foreign-invested enterprises need to do to register inventory equity?

A: A foreign-invested enterprise may submit its inventory equity information directly or through an accounting firm,bank or the capital account information system of the foreign exchange bureau. Foreign invested entities that need to make such a declaration can visit the website of the State Administration of Foreign Exchange (SAFE),log in to the capital account information system and register their inventory ownership on that platform.

Q: How should a foreign invested company's shareholders open a foreign currency capital account that can be used for a capital increase?

A: According to the Notice on Further Simplifying and Improving the Policy on Foreign Direct Investment from the State Administration of Foreign Exchange (SAFE[2015] No. 13),the company can directly register a capital increase or open a capital account for the capital increase at a registered bank.

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