China simplifies RMB and FX derivatives product administration
The State Administration of Foreign Exchange has simplified administrative measures for renminbi and foreign exchange products effective January 1, 2014. The existing filing requirements for conducting currency swap and foreign exchange swap business will be removed. Additionally, where a bank's customer borrows from domestic and foreign lenders and pays principal and interest, the bank can provide a currency swap without exchanging principal at the effective agreement date. This can be done with or without exchanging principal on the settlement date.