to domestic foreign exchange
Posted: Mon Dec 23, 2024 7:54 am
Therefore, if a cross-border payment institution wants to send funds overseas, it will generally open a T account to facilitate the outflow of funds. . Foreign exchange control Foreign exchange control refers to the restrictive measures imposed by the government on the inflow and outflow of foreign exchange in order to balance its international payments and maintain the exchange rate of its own currency. It is also called foreign exchange management in China. Its main purpose is to ensure the balance between the RMB and foreign exchange reserves, effectively regulate foreign exchange reserves, and ensure that limited foreign exchange can be used to import urgently needed domestic goods.
The existence of foreign exchange control is equivalent to israel phone number format building a firewall to prevent the domestic economy from being affected by the rapid fluctuation of foreign exchange. The loss of foreign exchange reserves will affect domestic imported goods. Foreign exchange control can be classified into quantity control, which is to limit the quantity of foreign exchange bought and sold by natural persons or enterprises, and cost control, which is to adopt different foreign exchange rates for different types of imported goods to adjust the costs of enterprises and natural persons to achieve the effect of adjusting the structure of imported goods.
For institutions in the field of cross-border payments, the foreign exchange control measures with strong influence are as follows: prohibiting the circulation of foreign currency in the country can only be circulated by converting it into RMB. It seems normal, but in fact, foreign currencies of many countries can be circulated in the market. Limit the foreign exchange transaction quota of individuals and enterprises, such as the personal convenience foreign exchange quota of 10,000 US dollars/year. For example, import enterprises need foreign exchange quota approval. Current items include trade in goods, trade in services, income of residents and non-residents, current transfers, which refer to remittances from overseas Chinese, government aid, etc.
The existence of foreign exchange control is equivalent to israel phone number format building a firewall to prevent the domestic economy from being affected by the rapid fluctuation of foreign exchange. The loss of foreign exchange reserves will affect domestic imported goods. Foreign exchange control can be classified into quantity control, which is to limit the quantity of foreign exchange bought and sold by natural persons or enterprises, and cost control, which is to adopt different foreign exchange rates for different types of imported goods to adjust the costs of enterprises and natural persons to achieve the effect of adjusting the structure of imported goods.
For institutions in the field of cross-border payments, the foreign exchange control measures with strong influence are as follows: prohibiting the circulation of foreign currency in the country can only be circulated by converting it into RMB. It seems normal, but in fact, foreign currencies of many countries can be circulated in the market. Limit the foreign exchange transaction quota of individuals and enterprises, such as the personal convenience foreign exchange quota of 10,000 US dollars/year. For example, import enterprises need foreign exchange quota approval. Current items include trade in goods, trade in services, income of residents and non-residents, current transfers, which refer to remittances from overseas Chinese, government aid, etc.