On January 26, 2017, State Administration of foreign exchange (“SAFE”) issued Circular on Further Advancing the Reform of Foreign Exchange Administration and Improving Examination of Authenticity and Compliance. Some of the points worth noticing in that circular are as follows:
国家外汇管理局于2017年1月26日发布了《关于进一步推进外汇管理改革完善真实合规性审核的通知》。该通知中有以下几点值得注意：

The fund borrowed by a borrower registered overseas from an overseas creditor but guaranteed by the domestic guarantor is now allowed to be used in the mainland China. Such fund can be directly or indirectly used in mainland China by the borrower registered overseas through a loan to domestic entity, equity investment, etc.
允许内保外贷项下资金调回境内使用。债务人可通过向境内进行放贷、股权投资等方式将担保项下资金直接或间接调回境内使用。

When a bank handles a domestic entity’s profit distribution request to the foreign shareholder with value of more than USD50,000, the bank shall, based on the principle of true transaction,  examines the relevant board resolution (or the resolution reached by the partners), original copy of the tax filing form, audited financial statement, and record the amount of the distributed profit and the date of such distribution on the original copy of the tax filing form. A domestic entity shall first use the profit to offset the losses in the previous years. Only the balance after such offset is allowed to be distributed to the foreign shareholder.
银行为境内机构办理等值5万美元以上(不含)利润汇出业务，应按真实交易原则审核与本次利润汇出相关的董事会利润分配决议(或合伙人利润分配决议)、税务备案表原件、经审计的财务报表，并在相关税务备案表原件上加章签注本次汇出金额和汇出日期。境内机构利润汇出前应先依法弥补以前年度亏损。

When a domestic entity registers its direct foreign investment and transfers the funds overseas, except for submitting required documents for examination and verification, the domestic entity shall also clarify with the bank the source of the fund for overseas investment and the purpose of such fund (investment plan), and provide the bank with board resolution (or the resolution reached by the partners), relevant contract and other materials which can prove the authenticity of the transaction. The bank shall examine such documents based on the principle of “knowing the client, knowing the business, and conducting due diligence”
境内机构办理境外直接投资登记和资金汇出手续时，除应按规定提交相关审核材料外，还应向银行说明投资资金来源与资金用途(使用计划)情况，提供董事会决议(或合伙人决议)、合同或其他真实性证明材料。银行按照展业原则加强真实性、合规性审核。