The first month of the pilot program for upgrading the functions of Shanghai's free trade account has a good start

Shanghai, January 29 (Xinhua) -- On the 29th, it was learned from the Shanghai headquarters of the People's Bank of China that the pilot program for upgrading the function of free trade accounts in the Shanghai Pilot Free Trade Zone was officially launched, and the first month achieved a "good start" with the successful implementation of the first batch of businesses.

Shi Jiandong, Deputy Director of the Macro Prudential Management Department of the Shanghai Headquarters of the People's Bank of China, introduced at the press conference for the first quarter of 2026 that on December 5, 2025, the pilot program for upgrading the functions of the Shanghai Free Trade Account was launched, which is the most important reform of the Shanghai Free Trade Account since its launch in May 2014.

Since the launch of this upgrade pilot, a total of 11 banks and 29 enterprises have participated in the pilot, with a total cross-border fund collection and payment scale of nearly 50 billion yuan.

Previously, Pan Gongsheng, the Governor of the People's Bank of China, announced at the 2025 Lujiazui Forum that eight policy measures would be implemented in Shanghai, including "optimizing and upgrading the functions of free trade accounts".

Shi Jiandong stated that the pilot program has achieved significant results, basically meeting the expected goals, and presenting five characteristics: convenient settlement, stable operation, diversified business, controllable risks, and a focus on local currency.

The pilot program follows the principle of "opening up the front line and regulating the second line", significantly improving the level of cross-border trade and investment liberalization. The pilot banks adhere to the concept of "mature one, develop one" to select high-quality enterprises, promote business development steadily and cautiously, and stabilize market business differentiation; The pilot business coverage continues to expand, covering various cross-border transactions such as general trade, processing trade, offshore trade, service trade, cross-border financing, and overseas lending; The total transaction volume is within the expected range, and the overall risk is controllable; In the business handled by pilot enterprises through upgrading their accounts, cross-border RMB accounts for 97%, which is in line with the policy orientation of expanding the cross-border use of RMB.

With the pilot upgrade of Shanghai Free Trade Account functions, the comprehensive reform pilot of offshore trade financial services in Shanghai Free Trade Zone Lingang New Area, and the issuance of multiple Shanghai Free Trade offshore bonds, a series of reforms and innovations have been implemented, and new progress has been made in the construction of Shanghai International Financial Center.