Bank accounts are essential for the operations of any legal entity in China. This article explains the main types
of corporate bank accounts available to Chinese companies, their practical differences, and how they are used.
1. Basic Account (基本账户)
The first account usually opened for a newly established company is the Basic Account. This account is
denominated only in CNY, and a company may hold only one Basic Account at any time. It can be opened at any bank,
but the branch must be located in the same city where the company is registered.
The Basic Account functions as the company's standard settlement account for sending and receiving payments in CNY.
To send or receive CNY across borders, the bank must first enable the cross-border CNY payment function
(跨境人民币功能).
The key feature of the Basic Account is that it is unique: a company cannot hold more than one. If the company moves
to a different office or wants to switch banks, the account cannot simply be transferred. It must be closed and a
new Basic Account must be opened at another bank.
This is also the only company account that can be connected to the tax and social security systems for automatic
deduction of taxes and social insurance contributions.
2. General Account (一般账户)
The second main account type is the General Account. It can only be opened after the Basic Account has
already been opened. A General Account may be opened in any currency and at any bank, including a bank different
from the one holding the Basic Account.
There is no limit to the number of General Accounts a company may hold in foreign currencies. For CNY-denominated
General Accounts, the usual practical limit is five in total, including the Basic Account. General Accounts can be
used for almost all routine financial operations, except for the automatic deductions used by the tax and social
security authorities.
3. Capital Contribution Account (资本金账户)
The Capital Contribution Account is the only type of account through which investment capital may be injected
into a foreign-owned enterprise. It can be opened at any bank and in any currency, although funds usually need to
be converted into CNY before they can be used in China.
This account is intended solely for receiving shareholder investment and recording it as foreign direct investment
(FDI). Funds may be transferred only by the company’s shareholders. Transfers from other individuals or legal
entities are normally rejected by the bank.
4. Intermediate Investment Account (资本金结汇待支付账户)
The Intermediate Investment Account is a specialized account opened only when the main Capital Contribution
Account is denominated in a foreign currency rather than CNY.
Its sole purpose is to temporarily hold funds that have already been converted from foreign currency into CNY but
have not yet been used. In practice, it serves as a transitional account during the capital conversion and payment
process.
5. Accounts in Bonded Zones and Free Trade Zones
Companies registered in bonded zones and free trade zones may be eligible for specialized account types, including
FTN, FTA, and similar accounts. These accounts differ from standard corporate accounts because transfers to and from
them are generally not subject to the usual Chinese foreign exchange controls.
However, their use is limited to the business activities declared by the company when the account is opened, and
banks exercise close supervision over the transactions.
6. Trade Accounts
Trade Accounts are used by companies engaged in foreign trade operations that involve instruments such as
letters of credit and bank guarantees.
To open this type of account, a company must typically satisfy strict internal bank requirements and show a proven
operating history, often of at least five years.
7. NRA Accounts
NRA Accounts are designed for companies that are non-residents of the PRC, including companies incorporated
in Hong Kong and Macau.
Like accounts opened by companies in bonded or free trade zones, NRA Accounts are generally outside the standard
Chinese foreign exchange control framework, but they remain subject to bank oversight. These and other specialized
account types are usually opened only upon special request and after case-by-case bank review.