A vice chief of China's foreign exchange watchdog noted in Beijing Thursday the country would further upgrade its policies on forex management to facilitate foreign trade and overseas investment.

Li Dongrong with the State Administration of Foreign Exchange (SAFE) suggested that Chinese enterprises investing overseas would find it easier to use foreign exchange and collect funds overseas following new policies to be implemented in 2004.

The SAFE would also allow large Chinese-funded enterprises to get more funds for their needs in overseas expansion through trustloans or other guarantees, he told an international convention on service industry held in Beijing.

China implements strict forex controls with the SAFE overseeingand regulating the flow and use of foreign exchange.

But Li Dongrong said forex management should be ameliorated to "cater to the changes of situations and facilitate the enterprises' normal operation".

Improvements would be seen in the forex administration under the accounts of service trade, processing trade and special trade this year, he said, adding that the SAFE should support the development of the logistics industry as more multinational-logistics enterprises are having a presence in the Chinese market and domestic logistics business is growing.

Source: Xinhua