Author:Research Team of SAFE’s Capital Account Management Department

Since the launch of the BRI in 2013，the SAFE has been working tirelessly to streamline administration and delegate power to promote the facilitation of cross-border investment and financing，aiming to create a favorable environment for domestic institutions to leverage domestic and international resources and markets. At the same time，the SAFE remained steadfast in the principle of preventing cross-border capital flow risks，curbing irrational overseas investment behavior，and safeguarding against illegal and irregular capital outflows，to ensure that overseas direct investment (ODI) becomes a "clean" channel for promoting the Belt and Road Initiative (BRI) development.

Streamlining Administration and Delegating Power to Improve Cross-Border Investment Facilitation

To begin with，the SAFE has made significant strides in simplifying foreign exchange management for direct investment，thereby promoting investment facilitation along the BRI. In February 2015，the SAFE issued the Circular of the State Administration of Foreign Exchange on Further Simplifying and Improving the Policies for the Foreign Exchange Administration of Direct Investment (Huifa [2015] No. 13)，which delegated the authority of foreign exchange registration for outbound direct investment to banks. This means that，when investing overseas，including outbound investment in countries and regions along the BRI，domestic institutions can now approach banks directly to handle relevant business under direct investment，such as foreign exchange registration，account opening，payment and settlement.