OREANDA-NEWS. February 22, 2012. Yi Gang, administrator of the State Administration of Foreign Exchange (SAFE), and his group recently visited Hubei for investigation and research on the pilot reform on the foreign exchange administration system for trade in goods, reported the press-centre of SAFE.

During the investigation and research, Administrator Yi Gang listened to the work report of the Hubei branch, visited and conveyed greetings to the first-line staff of the branch, conducted a field study on the integration of the foreign exchange business system portal at the bank end, held informal discussions with representatives of some banks and enterprises, and heard comments and suggestions on the pilot reform on the foreign exchange administration system for trade in goods. The comrades participating at the meeting unanimously confirmed that the reform of the foreign exchange administration system for trade in goods simplified business handling procedures, significantly reduced operation costs, enhanced the banks sense of responsibility to conduct examinations on the authenticity and awareness of enterprises to strengthen internal management, and established a new administrative mode combining trade facilitation and risk management.

Administrator Yi Gang pointed out that the reform of the foreign exchange administration system for trade in goods is a major move on the part of the foreign exchange authorities to proactively adapt to developments and changes in the situation, to accelerate the transformation of foreign exchange administration concepts and methods, and to timely adjust management methods, and it is an important embodiment of the implementation of the concept of putting people first and running government for the people.

The branches carrying out the pilot reform should earnestly study and solve the problems and suggestions put forward by the enterprises and banks in order to lay a foundation for comprehensively promoting the reform of the foreign exchange administration system for trade in goods. The foreign exchange administration should serve the market players, such as the financial institutions and the enterprises and safeguard the financial security of China.

The foreign exchange authorities should further accelerate the transformation of administration methods, gradually transfer from focusing on ex-ante supervision to emphasizing ex-post management and from supervision based on trading activities and the nature of the business to management based on the individual economic entity, in order to effectively guard against the impact of cross-border capital flows and to realize the organic unity of serving the development of the foreign economy and improving supervisory efficiency, while also facilitating to the utmost foreign trade and overseas investments by the market players.