General RMB/FX Forward

Introduction 

RMB/FX forward refers to the business whereby a customer signs an agreement with the Bank on foreign exchange-RMB settlement or sale on a future specified date (more than two business days from the trade date) with an agreed foreign currency, amount, term, and exchange rate upon expiry of the term. It allows enterprises to lock in the exchange rate risk associated with expected collections/payments so as to facilitate financial management. 

Instructions 

To apply for the RMB/FX forward business for the first time, customers are required to sign the Forward Foreign Exchange Settlement/Sale Agreement and submit the Letter of Authorization for Forward Foreign Exchange Settlement/Sale (specify the specimen signature and reserved seal of the authorized signatory for handling the business). 

To apply for the business, customers shall submit the following materials: the Application Form for Forward Foreign Exchange Settlement/Sale; valid credentials and business documents required to prove the authenticity of transaction background under the current account; loan contract, debt contract, external debt registration certificate and other documents required to prove the authenticity of transaction background under the capital and financial accounts; and other materials required by SAFE and the Bank. 

 

Application Procedure