Hainan's EF Account Explained: Cross-Border Settlement for Foreign-Owned Companies

Cross-border payments can involve correspondent banks, cut-off times, foreign-exchange checks and repeated document requests. Hainan’s multi-functional free trade account—commonly called an EF account—creates a more convenient channel for qualifying trade, investment and financing flows, but it does not promise that every transfer will settle within a fixed number of hours.

Official reporting shows that individual EF transactions have sometimes been completed within the same morning or in under an hour. Those cases demonstrate potential efficiency, not a service-level guarantee. Currency, destination, compliance screening, bank processes, payment rails and the completeness of the instruction can all change the outcome.

The account is part of Hainan Free Trade Port’s financial infrastructure. Funds crossing the “first line” between an EF account and eligible overseas or other specified accounts may be transferred more freely under the rules, while movement across the “second line” between the EF system and mainland ordinary accounts remains managed. By the end of 2025, Hainan reported 11 banks offering EF services and 810 accounts opened.

As of mid-2026 (end-June 2026), the People’s Bank of China Hainan Branch reported 13 participating banks and nearly 1,300 EF accounts opened cumulatively, with EF transaction volume exceeding RMB 300 billion in the first half of 2026 alone. Cumulative volume since the May 2024 launch surpassed RMB 600 billion, of which nearly RMB 300 billion was added in the first six months after the island-wide customs closure on 18 December 2025. The central-bank disclosure gave the total of 13 participating banks without publishing the full expanded name list; the 11-bank list below reflects the October/year-end 2025 disclosure and is retained as a dated reference.

Bank eligibility, account types and transaction rules can change. Verify current conditions with the participating bank and relevant financial authorities. This guide is a planning framework, not a promise of account approval, timing, foreign-exchange treatment or transfer acceptance.

What is an EF account?

The official English description is a multi-functional free trade account. Public authorities and banks refer to it as an EF account, but businesses should not invent a separate expansion for the letters “EF.” The system launched in Hainan in May 2024 under the People’s Bank of China Hainan Branch’s account-management framework.

An EF account is not an offshore bank account. A Hainan operating company’s account remains within China’s regulated financial system and is opened by an approved participating bank. It combines RMB and foreign-currency functions and applies a ring-fenced accounting framework for eligible cross-border settlement, exchange and financing activity.

Its operating logic follows two boundaries:

• Across the first line: transfers between EF accounts and qualifying overseas accounts, offshore accounts, non-resident accounts or other EF accounts may be handled under the more open framework, generally on the basis of a payment instruction.
• Across the second line: transfers between an EF account and an ordinary mainland account are managed as cross-border activity. Certain RMB transfers between a Hainan entity’s EFE account and its same-name ordinary account opened in Hainan may use limited-penetration rules within the applicable quota and permitted-use restrictions.

The EFE same-name quota is normally set in both directions at one times the enterprise’s owners’ equity shown in the prior-year annual report, and applies to RMB transfers only. If the company cannot provide that annual report or has been registered for less than six months, the limit is 50% of owners’ equity in its latest audited financial report. The ordinary same-name account must sit with a bank inside the Free Trade Port. An EFE transfer to a non-same-name resident ordinary account is limited to goods-trade settlement treated by customs as import/export. For EFN-to-resident-account transfers, the bank can act on the customer’s payment instruction, while the resident account bank performs authenticity review.

The account also integrates RMB and foreign currencies under one account structure, with multiple currency subaccounts supported through one opening process. Qualifying conversion inside the account uses the offshore CNH rate without transaction-by-transaction purpose materials for the conversion, although the bank still reports the foreign-exchange information and reviews the underlying flow. For qualifying non-securities capital activity, EFE can reduce specified foreign-debt, outbound-lending quota and front-end registration steps. Participating banks have also loaded online-banking functions. These are operating conveniences inside a regulated account, not an exemption from customer, transaction, tax or sanctions review. The national guide to opening a business bank account in China explains the ordinary corporate-account structure that continues alongside EF.

“Payment instruction” does not mean “no compliance review.” The instruction must describe a real, lawful transaction. Banks remain responsible for knowing the customer and business, anti-money-laundering and sanctions controls, ongoing monitoring and risk management. They can ask for supporting evidence and can decline, delay or report a transaction.

What can you do with an EF account?

The practical scope depends on the account holder, EF account type, bank capability and transaction. Common use cases include:

Transaction type	Potential use	Evidence to prepare
Cross-border trade settlement	Pay an overseas supplier or receive export proceeds	Contract, invoice, shipping or customs evidence, counterparty details and payment purpose
Foreign exchange	Convert RMB and foreign currency for an eligible business payment	Currency, amount, business purpose, source of funds and transaction evidence
Direct investment	Receive qualifying foreign investment or handle an eligible outbound investment flow	Corporate approvals, ownership documents, investment information and applicable bank-side registration records
Profit distribution	Remit lawfully distributable profits to an overseas shareholder	Audited or finalized financial information, tax evidence, shareholder resolution and bank checklist
Cross-border financing	Eligible foreign debt, overseas lending, loans or treasury arrangements	Loan documents, purpose, term, pricing, related-party information and any required records
Group treasury	Centralize eligible cross-border receipts, payments or financing	Group structure, treasury agreement, participating entities, controls and bank-approved structure

The EF framework can reduce front-end registrations, special-account steps or quota constraints for some non-securities capital-account transactions. It does not remove corporate approvals, accounting, tax, beneficial-ownership disclosure or the bank’s responsibility to understand the flow.

For the wider map of capital, trade, service, dividend and treasury routes, use our cross-border fund flows guide. It treats EF as one account channel inside the full transaction, rather than as a substitute for the underlying legal and tax steps.

Restrictions also matter. Public explanations of the EFE account rules identify prohibited uses for capital-account receipts, including unlawful or out-of-scope spending, most securities or investment activity unless otherwise permitted, loans to unrelated enterprises unless expressly within the business scope, and construction or purchase of non-self-use real estate. Always ask the bank to confirm the current negative list before funds arrive.

Which banks offer EF accounts?

By the end of 2025, 11 banks offered EF accounts with 810 cumulative openings (as disclosed in October/year-end 2025 sources). By end-June 2026, this had grown to 13 banks and nearly 1,300 cumulative accounts. Two additional banks — China Guangfa Bank Haikou Branch and Huaxia Bank Haikou Branch — were publicly named at the PBoC Hainan Branch press briefing on 29 July 2026. H1-2026 transaction volume exceeded RMB 300 billion and cumulative volume since the May 2024 launch surpassed RMB 600 billion, including nearly RMB 300 billion added in the six months after the 18 December 2025 island-wide customs closure. Flows now reach more than 110 countries and regions (Hainan Daily, 2026-08-06; the earlier mid-year figure was 105, 2026-07-06). The latest fully named public list, from the People’s Bank reporting period in October/year-end 2025, comprised the Hainan provincial branches of:

1. Industrial and Commercial Bank of China;
2. Agricultural Bank of China;
3. Bank of China;
4. China Construction Bank;
5. Bank of Communications;
6. China CITIC Bank;
7. Shanghai Pudong Development Bank;
8. China Merchants Bank;
9. China Everbright Bank;
10. Industrial Bank; and
11. China Development Bank.

This corrects a common online list that substitutes Postal Savings Bank, China Minsheng Bank or Bank of Hainan. Those institutions were not on the cited 11-bank EF list as of end-2025; Minsheng Bank Haikou Branch has since been confirmed as in the pipeline for onboarding. The central bank has also said it will continue to support Ping An Bank Haikou Branch and other qualifying banks in bringing EF systems online. Provider participation can change, so confirm directly before building a transaction plan around a particular bank.

Bank selection should follow the use case rather than brand recognition alone. A trading company may prioritize currencies, correspondent reach, online payment workflows and trade finance. A group treasury may need cross-border lending, cash concentration or derivatives capability. An inbound investor may prioritize coordination between the overseas remitting bank and the Hainan receiving branch.

Ask each shortlisted bank which EF account type fits, which currencies and online functions are available, whether the intended flows are supported, and what limits or negative-list items apply.

Who is eligible?

A Hainan-registered enterprise, including a foreign-invested company, may apply for an EFE account when it has a credible cross-border requirement. Registration does not create an entitlement. The bank evaluates the shareholder and ultimate beneficial owners, business scope, licences, operating address, expected customers and suppliers, source of capital, countries, currencies, volumes and transaction purpose.

A newly formed company should bring more than its business licence. A concise business plan, ownership chart, shareholder records, director or legal-representative identification, address evidence, draft or signed contracts, counterparty information and a twelve-month funds-flow forecast help the bank understand why an EF account is appropriate.

Foreign-invested companies must also align company establishment, foreign-investment information and bank-side direct-investment records with the proposed capital flow. The EF framework may simplify specific capital-account procedures, but it should not be interpreted as eliminating every corporate or investment-registration step. Our complete WFOE registration guide explains how registration, capital, banking, tax and foreign-exchange preparation fit together.

Before applying, run an EF-specific self-check: identify which account prefix matches the holder; confirm the registration-age condition or a documented relaxation; check that the entity is not in the relevant cross-border-RMB focus list, a B/C foreign-exchange category, or a high-risk anti-money-laundering list; and assemble contracts, counterparties and a funds-flow diagram proving the cross-border need. Address verification, legal-representative KYC and general document defects belong to the wider account-opening process, covered in our Hainan corporate bank account guide.

The four types of EF account — and which one fits you

EF is a segregated-accounting system rather than one universal account. The account-number prefix identifies the holder category, and a participating bank assigns it from the applicant’s legal status; the customer does not choose a prefix for convenience.

Account prefix	Holder	Who qualifies	Typical use for foreign founders
EFE	Institutions inside the Free Trade Port	An enterprise or institution registered in Hainan for at least six months, normally not in the cross-border-RMB focus list or B/C foreign-exchange category, with no major violation in the previous year and no high-risk AML/watch-list status. The age condition may be relaxed where a qualifying parent/group has operated for at least one year or the applicant’s scope aligns with FTP industry direction	A Hainan WFOE or other local operating entity handling trade, capital, financing and other qualifying flows
EFN	Overseas institutions, including Hong Kong, Macao and Taiwan entities	A legal person or other organisation lawfully registered overseas for at least one year, meeting anti-money-laundering, counter-terrorist-financing and anti-tax-evasion requirements. The age condition may be relaxed for qualifying Chinese enterprises going global or Belt and Road projects	An overseas company can apply through a participating Hainan bank without first establishing a Hainan entity, subject to full bank due diligence and genuine business
EFF	Overseas individuals	An overseas person studying, working or living in Hainan, or qualifying high-level or urgently needed foreign talent, who is not on a UN Security Council sanctions list. Mainland Chinese individuals are outside this category	Personal qualifying cross-border needs of eligible foreign, Hong Kong, Macao or Taiwan individuals in Hainan
EFU	Financial institutions	Overseas financial institutions and other onshore financial institutions able to operate segregated accounting	Bank and institutional flows rather than an ordinary founder’s operating account

As of the end of October 2025, the 658 disclosed accounts comprised 362 EFN, 292 EFE, 2 EFF and 2 EFU accounts. That dated mix shows that overseas institutions are a central user group, not an edge case. EFN is useful for a real overseas business that needs an eligible China-facing settlement channel, but it is not a shell-company shortcut: the bank must identify ownership, business, counterparties, source of funds and transaction purpose.

For a Hainan entity, the EF account sits alongside ordinary corporate banking. The Hainan corporate bank account guide covers the basic RMB account, capital account and local opening workflow; this page stays focused on EF eligibility and cross-border use.

EF vs FT: what happened to Hainan’s free trade accounts?

Hainan introduced its earlier FT free trade account framework in 2019. The EF multi-functional free trade account, launched in May 2024, was created by participating Hainan financial institutions by upgrading and optimising that FT foundation into one rule-unified, RMB-and-foreign-currency-integrated structure.

The transition matters to existing holders. A company with an FTE account that qualifies for and opens an EFE account should in principle close the old FTE account within three months, and process no new business through it before closure. Once closed, a remaining balance below RMB 100 million may be transferred into the new EFE account in one lump sum. Direct EFE-to-FTE transfers were not permitted in the initial arrangement.

Question	FT account (Hainan, 2019–2024 framework)	EF account (Hainan, from May 2024)
System position	Earlier Hainan free trade account framework	Current multi-functional system within Hainan’s electronic fence
Currency operation	Currency-specific FT account structure	Integrated RMB and foreign-currency handling with multiple currency subaccounts sharing one account framework
Existing/new applicants	Existing FTE holder follows the closure transition after opening EFE	New qualifying applicant discusses the relevant EF prefix directly with a participating bank
Relationship to Shanghai FTN	Hainan’s historic FT labels do not make it the Shanghai system	Hainan EF uses its own EFE/EFN/EFF/EFU prefixes and is not Shanghai’s FT/FTN regime

This terminology prevents a common error. Hainan EF is the Free Trade Port’s dedicated electronic fence account system; the FT/FTN-prefixed arrangements used in Shanghai and other free trade zones are not the same prefix regime. An article that generically tells an overseas Hainan applicant to open an “FTN account” is describing the wrong system. A new Hainan entity after May 2024 applies for EF directly rather than opening FT first.

Second-line quota and EF operating advantages

The second line is where EF and ordinary onshore accounts meet, so this is the part most likely to affect cash planning.

Second-line rule	Detail
Same-name quota	Two-way EFE penetration normally equals one times prior-year owners’ equity; without the prior-year report or when registered for less than six months, use 50% of owners’ equity in the latest audited financial report
Currency	RMB only across the second line under this same-name quota
Location of ordinary account	The onshore same-name account must be opened with a bank inside the Hainan Free Trade Port
Non-same-name transfer	Limited to goods-trade settlement treated by customs as import/export

The existing negative list continues to apply: capital receipts cannot fund out-of-scope activity, most securities or wealth-management products other than permitted low-risk products up to R2, loans to unrelated enterprises outside the licensed scope, or non-self-use real estate.

Across the first line, eligible flows can use payment instructions, and qualifying non-securities capital transactions can avoid certain front-end quotas, registrations and dedicated-account steps. Within EF, a single opening process supports RMB and multiple foreign-currency subaccounts; conversion uses the offshore CNH rate and does not require purpose evidence for each conversion, while the bank still submits exchange data and can request transaction evidence. Online banking makes the system usable in day-to-day operations.

The PBoC Hainan Branch reported on 29 July 2026 that qualifying cross-border fund transfers had been reduced from one or two working days to as fast as a few minutes. This is a system-efficiency observation and a case result, not a timeline guarantee for any specific entity. Currency, cut-off, correspondent bank, instruction quality and screening can still change the result.

EF account vs. traditional foreign-exchange accounts

The useful comparison is not “fast versus slow.” It is the applicable regulatory route, bank workflow and evidence burden for a defined transaction.

Feature	EF account	Traditional corporate or foreign-exchange route
Primary fit	Eligible Hainan free-trade and cross-border flows	Nationwide corporate banking and cross-border flows under generally applicable rules
First-line transfer	May use payment-instruction processing under EF rules	Bank applies the conventional transaction and foreign-exchange process
Second-line transfer	Managed as cross-border; certain same-name RMB transfers may use limited penetration	Domestic account movements and cross-border transactions follow their respective general rules
Currency	Integrated RMB and foreign-currency functions, subject to bank capability	Account type and bank determine available currencies
Capital activity	Some non-securities flows may avoid specified quotas or front-end procedures	Applicable FDI, foreign-debt, outbound-investment and SAFE/PBOC requirements apply
Timing	Can be efficient when the instruction and profile are complete	Also varies by bank, currency, cut-off, documents and payment rail
Review	KYC, AML, sanctions and transaction monitoring remain	The same core bank obligations remain
Availability	Participating Hainan branches and qualifying customers	Available nationally through licensed banks

Do not put “as fast as a few minutes” into a supplier contract as a fixed settlement time. It is an officially reported case outcome, not a universal timeline. Build settlement buffers into commercial terms.

Real-world scenarios for ASEAN businesses

Scenario A: paying an ASEAN supplier

A Hainan food processor imports eligible inputs from Malaysia. Its finance team submits a payment instruction through the participating bank, using the supplier contract, invoice, shipping details and payment purpose maintained in its file. If the transaction matches the account profile and passes screening, the EF route may reduce operational steps. Food import, customs and tax compliance remain separate.

Scenario B: receiving capital from a Singapore shareholder

A Singapore parent establishes a Hainan subsidiary and plans its capital contribution. Before remittance, the group confirms the shareholder, currency, corporate approval, bank-side investment information and permitted account route. The bank then processes the eligible incoming flow under its EF procedures. “Free flow” does not allow unexplained third-party funding or a mismatch between the investor record and sender.

Scenario C: distributing profits overseas

After the Hainan company completes the relevant accounting, tax and corporate approvals, it asks the bank for the current profit-remittance checklist. The EF account may provide an efficient payment channel, but the company still needs lawfully distributable profits and supporting records. The 15% corporate income tax guide explains why a preferential tax rate and an EF account are separate eligibility questions.

The 15% corporate income tax rate itself applies only to an encouraged-industry enterprise with substantive operation in Hainan; an EF account does not establish either condition.

The account is only the payment channel. The corporate resolutions, tax filing, withholding and bank evidence are covered in our profit repatriation guide.

Scenario D: group financing or overseas lending

A Hainan group company considers funding a related overseas business. It presents the relationship, agreement, use of funds, pricing, repayment and cash-flow model to a bank experienced in EF financing. Some front-end quota or registration requirements may be simplified, subject to the specific rule and exclusion for securities investment, but the bank still reviews legality, authenticity and risk.

Practical considerations

Start the banking work during incorporation, not after the first invoice. The account team will want the company name, ownership, legal representative, business scope, address and transaction model to tell one coherent story. A genuine workplace can strengthen operational credibility; review the office and workspace options before selecting an address that exists only for registration.

Prepare a one-page transaction map showing who pays whom, for what, in which currency, from which country, how often and with what supporting document. Separate capital, trade, service, loan and profit flows. Ask the bank to mark which account receives or sends each flow and what changes would require prior consultation.

Keep contracts, invoices, customs documents, bank instructions, approvals, exchange records and correspondence in a searchable file. Simplified front-end processing increases the importance of accurate instructions and records available for later review. False trade, circular flows or fabricated documents may result in rejection, account restrictions, regulatory reporting or other consequences.

Coordinate bank data with monthly accounts and tax filings. Cross-border service fees, interest, royalties and profit distributions can have VAT, withholding, corporate-income-tax and transfer-pricing consequences. Our bookkeeping and tax service can connect the payment trail to the accounting and filing calendar.

In practice — how EF accounts are used

The EF account system is not a pilot concept; it is a live, scaling channel used by provincial governments, multinational subsidiaries and real trade flows. Three publicly documented examples illustrate the range of use:

• Provincial offshore issuance (September 2026). On 16 September 2026, Hainan Province priced RMB 5 billion in offshore RMB local government bonds in Hong Kong — its fifth consecutive annual issuance and the first since the island-wide customs closure. The order book peaked at RMB 43.7 billion (nearly 9x covered). The preceding roadshow attracted 59 institutions from 8 markets across Europe and Asia. The bonds are to be listed on HKEX, were accepted as eligible collateral under the Hong Kong Monetary Authority RMB Liquidity Facility, and qualify for Hong Kong profits-tax exemption on interest and disposal gains. Proceeds will continue to be settled through the Hainan FTP EF account, demonstrating the same EF framework that eligible Hainan entities may use for capital injection and profit repatriation. (Sources: Hainan Provincial Government website citing Hainan Daily, 2026-09-17; CCTV Finance; Hainan Department of Finance roadshow report, 2026-09-16.)
• First outbound loan via EF account (May 2024). On 15 May 2024 — within days of the EF system’s launch — Shide Group completed its first outbound loan of USD 13.75 million via SPD Bank Haikou Binhai Avenue Branch, using the EF account framework. (Source: hinews.cn English edition, 2025-08-13.)
• Same-day opening, signing and settlement. China Construction Bank Hainan Branch assisted a construction company’s overseas subsidiary to open an EF account, sign the management agreement and complete its first cross-border payment on the same day. Sunrise Fuel (Hainan), a petrochemical trading entity, reported completing a cross-border settlement in under two hours through the EF framework. (Sources: Hainan Daily, 2026-08-06; hinews.cn English edition.)

Each of the above is a third-party, publicly reported case. Execution time varies by entity, bank and transaction type; none of these figures constitute a timeline guarantee for any specific client.

Before booking a call: we do not hold accounts on your behalf, do not receive or disburse funds on your behalf, and do not handle any of your money — account opening approval is decided entirely by the opening bank. If your entity has been registered for less than six months, or is listed in a B/C-class trade-forex registry, we will typically advise you to complete the prerequisite steps before submitting an application.

Common questions

Can any Hainan company open an EF account?

No. A company may apply, but approval depends on the participating bank's due diligence, risk appetite and assessment of genuine cross-border needs. Some banks focus on particular industries, customer profiles or transaction types.

Is there a minimum balance or fee?

It varies. Ask for the current tariff covering opening, maintenance, transfers, correspondent charges, foreign exchange, tokens and online banking. Compare the full annual cost, not one advertised transfer fee.

Can I use an EF account for ordinary mainland RMB transactions?

The EF account is designed for free-trade and cross-border activity. Certain same-name second-line transfers may be permitted within the applicable quota and restrictions, while ordinary domestic operating payments normally use the company's standard corporate account.

Does payment-instruction processing remove document review?

No. It simplifies eligible processing but does not remove KYC, AML, sanctions, authenticity or monitoring duties. The bank can request contracts, invoices, customs records, resolutions, tax evidence or other support.

Can a new company apply before it has revenue?

Potentially. A bank may consider a credible pre-revenue company when the business scope, shareholder funding, contracts, premises and forecast demonstrate a genuine cross-border model. Approval and timing remain subject to bank review.

What are EFE, EFN, EFF and EFU accounts?

The EF system is not one account type but four, identified by their account-number prefixes. EFE accounts serve institutions registered inside the Hainan Free Trade Port (including foreign-invested companies), which must normally have been registered in Hainan for at least six months and meet compliance and foreign-exchange-record conditions; the six-month requirement may be relaxed for a qualifying parent or group company registered for at least a year. EFN accounts serve overseas institutions — including Hong Kong, Macao and Taiwan entities — lawfully registered for at least one year, with some flexibility for Chinese enterprises going global and Belt and Road projects. EFF accounts serve overseas individuals who study, work or live in Hainan, or high-level and urgently needed foreign talent under Hainan's talent policy; mainland Chinese individuals are not eligible. EFU accounts serve overseas financial institutions and qualified onshore financial institutions. An enterprise does not pick a prefix freely: the participating bank assigns it based on who the holder is.

Can an overseas company open an EF account without a Hainan entity?

Yes — that is exactly what the EFN category is for. An overseas institution lawfully registered for at least one year (including a Hong Kong, Macao or Taiwan company) can apply to a participating Hainan bank for an EFN account to settle eligible cross-border trade, investment and financing flows, without first setting up a Hainan subsidiary. The registration-age requirement may be relaxed for Chinese enterprises investing overseas and Belt and Road-related entities. This is not a loophole for shell companies: the bank still applies anti-money-laundering, counter-terrorist-financing and tax-evasion controls (three anti requirements), verifies the entity's real business, and performs authenticity review on flows between the EFN account and onshore accounts. Founders planning a permanent China operation usually still set up a Hainan entity and an EFE account — our Hainan corporate bank account guide covers how registration and basic-account opening fit together.

What is the difference between EF and FT accounts in Hainan?

FT (free trade) accounts were Hainan's earlier cross-border account system, in place since 2019. The EF (multi-functional free trade) account was launched in May 2024, built by Hainan's financial institutions by upgrading and optimising the existing FT framework into one rule-unified, RMB-and-foreign-currency-integrated account. For existing holders, the transition is structured: after a company with an FTE account opens an EFE account, the original FTE account should in principle be closed within three months and no new business may be processed through it before closure; a remaining balance under RMB 100 million can be transferred into the new EFE account in one lump sum, and direct transfers between EFE and FTE are not permitted in the initial period. A separate terminology point: Hainan's EF system is the dedicated electronic fence account regime for the Free Trade Port — it is not the same as the FT/FTN-prefixed accounts used in Shanghai and other free trade zones, and articles that generalise FTN accounts to Hainan are describing the wrong system. New Hainan entities set up after May 2024 apply for EF directly.

How much money can move between an EFE account and an ordinary mainland account?

Transfers across the second line between an EFE account and the holder's same-name ordinary onshore account follow a negative list plus quota regime, in RMB only. The two-way penetration quota is normally set at one times the enterprise's owners' equity as shown in the prior year's annual report. Where the company cannot provide the prior-year annual report or has been registered for less than six months, the quota is set at 50% of the owners' equity shown in its latest audited financial report. The onshore same-name account must be opened with a bank inside the Free Trade Port. Transfers to a non-same-name onshore account are restricted to goods-trade settlement that customs treats as import/export. The negative list still bars out-of-scope spending, most securities and wealth-management products (low-risk products up to rating level R2 excepted), lending to unrelated enterprises outside the licensed scope, and non-self-use real estate.

How many banks offer EF accounts in Hainan now?

As of end-June 2026, the People's Bank of China Hainan Branch reported 13 participating banks and nearly 1,300 EF accounts opened cumulatively, with transaction volume exceeding RMB 300 billion in the first half of 2026; cumulative volume since the May 2024 launch surpassed RMB 600 billion, including nearly RMB 300 billion added in the six months after the island-wide customs closure on 18 December 2025, and flows now reach more than 110 countries and regions (Hainan Daily, 2026-08-06; the earlier mid-year figure was 105, 2026-07-06). Two banks were newly added in 2026 — China Guangfa Bank, Haikou Branch and Huaxia Bank, Haikou Branch — and publicly named at the PBoC Hainan Branch press briefing on 29 July 2026. The central bank also stated that it will continue to support more qualifying banks, including Ping An Bank Haikou Branch and China Minsheng Bank Haikou Branch, to come online. The last fully named public list (end-2025) covered 11 banks — the Hainan provincial branches of ICBC, Agricultural Bank of China, Bank of China, China Construction Bank, Bank of Communications, CITIC Bank, SPD Bank, China Merchants Bank, China Everbright Bank, Industrial Bank and China Development Bank — with 810 accounts opened by end-2025. Postal Savings Bank, China Minsheng Bank and Bank of Hainan were not on that named 11-bank list as of end-2025; Minsheng Bank Haikou Branch has since been confirmed as in the pipeline for onboarding. Per-transaction cross-border settlement speed has been officially reported as reduced from one to two working days to as fast as a few minutes (PBoC Hainan Branch, 2026-07-29); this is a system-efficiency observation and a case result, not a timeline guarantee for any specific entity. Always confirm a specific bank's current EF capability before planning a transaction around it.

This article provides general information and does not constitute banking, foreign-exchange, tax, legal or investment advice. Rules and bank practices can change. Account opening and transactions remain subject to the participating bank and competent authorities.