The Beijing Free Trade Zone branch of the Bank of Communications has successfully launched its first batch of high-level pilot business for cross-border trade for the Beijing branch of the bank, using financial power to deepen the construction of the 'Two Zones'.

The move comes after the Beijing branch of the State Administration of Foreign Exchange issued implementation rules for the pilot program of high-level opening of cross-border trade and investment in the Chinese capital in February. The rules aim to further enhance the facilitation of cross-border trade and investment in Beijing and support the construction of the 'Two Zones', a term which refers to Beijing's efforts to become a free trade zone and the national integrated demonstration zone for expanding the service sector.  

Altogether, there are eight pilot policies, including further facilitating the receipt and payment of foreign exchange funds for current accounts, supporting banks in optimizing new international trade settlements, expanding the scope of net settlement of trade receipts and payments, exempting registration for special refunds of overdue goods trade and optimizing the management of agency or shared business under service trade for five current account policy measures.

Three other capital project policy measures cover exempting registration for reinvestment by foreign-invested enterprises within the country, supporting the shared foreign debt quota between parent and subsidiary companies in financial leasing, and allowing some capital project foreign exchange registrations to be handled directly by banks (including qualified non-financial enterprises in Beijing borrowing foreign debt and listing overseas and handling related registration procedures directly with banks).

Currently, Beijing E-Town has formed a comprehensive financial service system covering 27 banks, 13 securities branch institutions, five insurance branch companies, 11 '7+4' types of local financial institutions and more than 80 private equity investment funds.