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What are the effects of those changes?

The PBOC Announcement and the SAFE Circular has amended policies concerning the administration of current foreign exchange accounts in order to better satisfy the demands of domestic institutions and individuals using foreign exchanges, and in order to facilitate trade.
Then, individuals, companies and other entities can more easily retain foreign exchange. They can purchase it with renminbi and remit it abroad as payment for services and goods.

China no longer needs strict control of small outbound payments for inbound deliveries of goods and services. These changes will strengthen market perceptions of the renminbi as a relatively ‘hard’ currency, and will further encourage foreign providers of goods and services to supply the China market.

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