According to Deep Tide TechFlow news, as shown on the website of the State Administration of Foreign Exchange of China, in order to better coordinate development and security, ensure the facilitation of cross-border trade and investment, prevent and curb illegal foreign exchange activities, and maintain the order of the foreign exchange market, the State Administration of Foreign Exchange has formulated the (Interim Measures for the Management of Foreign Exchange Risk Trading Reports by Banks) (hereinafter referred to as the (measures)) based on the (Interim Measures for the Management of Banking Foreign Exchange Operations) (hereinafter referred to as the (operational measures)) and relevant laws and regulations.
According to the (measures), if a bank discovers or has reasonable grounds to suspect that its onshore or offshore institutions and individual clients (hereinafter collectively referred to as transaction subjects) are involved in foreign exchange risk trading activities, it should monitor foreign exchange risk trading information and submit a foreign exchange risk trading report.
Foreign exchange risk trading activities refer to activities involving suspected false trade, false investment and financing, underground banks, cross-border gambling, fraudulently obtaining export tax rebates, illegal cross-border financial activities of virtual currency, and other suspected illegal cross-border capital flow activities; foreign exchange risk trading information refers to information related to foreign exchange risk trading activities. Banks should promptly submit foreign exchange risk trading reports to the State Administration of Foreign Exchange through their headquarters or organizations designated by their headquarters.