How China’s capital and FX controls govern corporates’ operation and investment, & the legality of various funding channels between China and Hong Kong

Course Valid period: 60 days after success payment

When dealing with legal matters involving capital flows between China and Hong Kong, lawyers have to form their view quickly whether the relevant capital flows are in compliance with the capital and foreign exchange controls of mainland China, and hence the legality of the capital view. Or, when advising and drafting cross-border investment agreements for clients, the compliance status of capital and FX control directly results in the approval or rejection of the projects.

Since China's capital and foreign exchange controls cover different scopes, the control measures are originated from different laws, administrative notices, and guidelines. We deliberately structure the courses into six major topics, and in each topics, the legal source(s) will be pointed out one by one for your future reference:

• China’s  capital and FX controls in a nutshell
• Foreign investors entering China’s market (capital account)
• China investors make overseas direct Investment, ODI (capital account)
• Lending foreign debts, and borrowing from aboard (capital account)
• Settling FX due to ordinary manufacturing and trading (current account)
• Funds transferal channels between China, Hong Kong and overseas, and respective legality

We try our best to explain in detail the situations that Hong Kong lawyers encounter most, including onshore-guaranteed foreign loan (內保外貸), raising debts in Hong Kong and overseas, V.I.E. listing arrangements and etc.

Last but not least, the course will share insight regarding common funds transferal channels into and out of China, e.g., using money exchange shops, and we will evaluate the legality of these channels.