China expands cross-border fund management for multinationals

The People's Bank of China and the State Administration of Foreign Exchange have announced the nationwide expansion of centralized cross-border fund operations for multinational corporations. Scheduled to take effect on September 14, this policy expands upon a pilot program previously conducted in Beijing and Guangdong.

The initiative aims to facilitate the coordinated use of local and foreign currency funds by allowing multinational groups to pool debt and overseas lending quotas. Companies can autonomously determine collection ratios and manage funds through a single account, enabling group-level allocation and flexible use at the member-enterprise level. The policy also encourages the prioritized use of local currency for business operations.

Key features of the nationwide rollout include lower entry thresholds—particularly for companies registered in Free Trade Zones—and simplified registration processes. To reduce administrative burdens, registration will be handled through a single window at local branches of the State Administration of Foreign Exchange, with certain changes manageable directly through cooperating banks. The expansion follows a successful pilot phase that, as of June 2026, included over 260 multinational corporations and benefited more than 5,500 member enterprises.