China to launch new forex policies to boost trade

China’s foreign exchange (forex) regulator is preparing to launch a series of new policies aimed at driving innovative growth in trade, according to Zhu Hexin, deputy governor of the People’s Bank of China and head of the State Administration of Foreign Exchange (SAFE). Zhu made the remarks on Monday at the Annual Conference of the Financial Street Forum 2025 in Beijing.

Zhu said SAFE will soon implement policies to support a cash-pooling program that integrates domestic and foreign currency management for multinational corporations. Additional measures will focus on fund management for domestic companies listed overseas and on comprehensive forex management reforms in China’s free trade zones.

Over recent years, China has accelerated efforts to deepen reforms and promote high-standard opening-up in the forex sector. These efforts aim to facilitate cross-border trade and investment, improve financing channels, expand the forex market, and help enterprises manage exchange-rate risks more effectively, Zhu noted.

According to Zhu, China’s forex market turnover in 2024 was 37 percent higher than in 2020, while the country’s foreign-related balance of payments surged 64 percent during the same period.

In the first three quarters of 2025, China’s foreign-related balance of payments hit a record 11.6 trillion U.S. dollars, reflecting robust trade and investment activity.

Looking ahead, SAFE will further strengthen supervision and risk-prevention mechanisms to maintain financial stability. These efforts are expected to enhance confidence, support international cooperation, and reinforce China’s economic and trade resilience amid continued opening-up, Zhu added.

Sino-Carib/Xinhua