This paper introduces the policy of cross-border RMB financing foreign
guarantee business and the process and requirements of banking business. It points
out that the current RMB internal guarantee and external loan business is developing
rapidly but the total amount is limited. Although it has the characteristics of risk-free
income, it is difficult for market entities to operate frequently on a large scale. This
paper suggests that the business should be unblocked and the business supervision
should be strengthened because it has to a certain extent facilitated the domestic and
foreign capital markets.