People's Bank of China Notice [2003] No.16 (Engagement in renminbi services by Hong Kong banks)

Issued: November 18 2003

Main contents: The Notice states that the People's Bank of China will provide clearing arrangements for Hong Kong banks providing individual renminbi deposit taking, exchange, bank cards and remittance services. In consultation with the Hong Kong Monetary Authority, the People's Bank of China will select and authorize a Hong Kong licensed bank to be the clearing bank for Hong Kong banks providing renminbi services (Item One). The clearing bank will be authorized to provide squaring services for participating banks for renminbi and Hong Kong dollar exchange services that fulfil the following requirements:
- the maximum amount in notes that can be exchanged per person of Rmb6,000 equivalent per transaction;
-the maximum amount that can be exchanged through deposit accounts per person per day of Rmb20,000 equivalent; and
-designated businesses engaged in retail sales, catering, accommodation and other services related to personal consumption of tourists for the exchange of their renminbi note receipts into Hong Kong dollars.