China to expand cash-pooling programme for multinationals

BEIJING, 14th March, 2025 (WAM) — China will expand the coverage of a pilot cash-pooling service that integrates domestic and foreign currency management for multinational companies, the country’s monetary authorities said on Thursday.

According to China Central Television (CCTV), the programme is currently being piloted in ten localities and will be expanded to various regions. This information has been provided by the People’s Bank of China (PBOC) and the State Administration of Foreign Exchange.

The move aims to improve the efficiency of cross-border fund operations and facilitate cross-border investment and financing for large multinationals to a greater extent, the PBOC said in a statement.

Policies that will be piloted in these additional regions include those that allow multinationals to use their domestic master accounts in China to handle centralised receipts and payments in domestic and foreign currencies for overseas subsidiaries, and those that streamline yuan-denominated cross-border receipts and payments for multinationals.