Chapter 1 General Provisions Article 1 In order to meet the needs of opening up and economic development, strengthen and improve the supervision and management of foreign-funded banks, and promote the stable operation of the banking industry, these Regulations are formulated.

Article 2 The term "foreign-funded banks" as mentioned in these Regulations refers to the following institutions established within the territory of the People's Republic of China with approval in accordance with the relevant laws and regulations of the People's Republic of China: (1) 1 foreign bank solely invests

Or a wholly foreign-owned bank jointly established by a foreign bank and other foreign financial institutions; (2) a Sino-foreign joint venture bank jointly established by a foreign financial institution and a Chinese company or enterprise; (3) a branch of a foreign bank

; (4) Representative offices of foreign banks.

The institutions listed in items 1 to 3 of the preceding paragraph are hereinafter collectively referred to as business institutions of foreign-funded banks.

Article 3 The term "foreign financial institutions" as mentioned in these Regulations refers to financial institutions registered outside the People's Republic of China and approved or licensed by the financial regulatory authorities of the country or region where they are located.

The term "foreign bank" as mentioned in these Regulations refers to a commercial bank registered outside the People's Republic of China and approved or licensed by the financial regulatory authorities of the country or region where it is located.

Article 4 Foreign-funded banks must abide by the laws and regulations of the People's Republic of China and shall not harm the national interests and social public interests of the People's Republic of China.

The legitimate activities and legitimate rights and interests of foreign-funded banks are protected by the laws of the People's Republic of China and the People's Republic of China.

Article 5 The banking regulatory agency of the State Council and its dispatched offices (hereinafter collectively referred to as the banking regulatory agencies) are responsible for the supervision and management of foreign-funded banks and their activities.

If laws and administrative regulations stipulate that other supervisory and administrative departments or institutions shall supervise and manage foreign-funded banks and their activities, such regulations shall prevail.

Article 6 The banking regulatory agency of the State Council shall formulate relevant encouragement and guidance measures in accordance with the national regional economic development strategy and relevant policies, and submit them to the State Council for approval before implementation.

Chapter 2 Establishment and Registration Article 7 The establishment of a foreign-funded bank and its branches shall be subject to review and approval by the banking regulatory agency.

Article 8 The minimum registered capital of a wholly foreign-owned bank or a Sino-foreign joint venture bank is RMB 1 billion or its equivalent in freely convertible currency.

Registered capital shall be paid-in capital.

Branches of wholly foreign-owned banks and Sino-foreign joint venture banks established within the territory of the People's Republic of China shall be provided with working capital in RMB or freely convertible currencies free of charge by their head offices.

The total working capital allocated to each branch by a wholly foreign-owned bank or a Sino-foreign joint venture bank shall not exceed 60% of the total capital of the head office.

A branch of a foreign bank shall be allocated free working capital of no less than 200 million yuan or its equivalent in freely convertible currency by its head office.

The banking regulatory authority of the State Council may increase the minimum limit of registered capital or working capital and stipulate the share of RMB in it based on the business scope of foreign-funded banks' operating institutions and the needs of prudential supervision.

Article 9 Shareholders of a wholly foreign-owned bank, a Sino-foreign joint venture bank, or a foreign bank that intends to establish a branch or representative office shall meet the following conditions: (1) Have sustained profitability, good reputation, and no record of major violations of laws and regulations; (2) The proposed establishment of a branch or representative office shall meet the following conditions:

The shareholders establishing a wholly foreign-owned bank, the foreign shareholders of a Sino-foreign joint venture bank, or the foreign bank planning to establish a branch or representative office have experience in engaging in international financial activities; (3) have an effective anti-money laundering system; (4) the proposed wholly foreign-owned bank

The shareholders of a Sino-foreign joint venture bank, or the foreign bank that intends to establish a branch or representative office are subject to effective supervision by the financial regulatory authorities of the country or region where it is located, and its application has been approved by the financial regulatory authorities of the country or region where it is located; (5) Bank of the State Council

Other prudential conditions specified by the industry regulatory agency.

The country or region where the shareholders of a wholly foreign-owned bank, a foreign shareholder of a Sino-foreign joint venture bank, or a foreign bank intending to establish a branch or representative office are located must have a complete financial supervision and management system, and its financial supervision authorities have cooperated with the State Council Banking Supervision and Administration

Institutions have established good supervision and management cooperation mechanisms.

Article 10 The shareholders of a wholly foreign-owned bank to be established shall be financial institutions. In addition to meeting the conditions stipulated in Article 9 of these Regulations, the sole or controlling shareholder shall also meet the following conditions: (1) Be a commercial bank; (2) Capital

The adequacy ratio complies with the regulations of the financial regulatory authorities of the country or region where it is located and the banking regulatory agency of the State Council.

Article 11 In addition to the conditions stipulated in Article 9 of these Regulations, the shareholders of a proposed Sino-foreign joint venture bank shall have foreign shareholders who are financial institutions, and the sole or major foreign shareholder shall also meet the following conditions: (1) Be

Commercial banks; (2) The capital adequacy ratio complies with the regulations of the financial regulatory authorities of the country or region where it is located and the banking regulatory agency of the State Council.

Article 12 In addition to meeting the conditions stipulated in Article 9 of these Regulations, a foreign bank planning to establish a branch shall also have a capital adequacy ratio in compliance with the regulations of the financial regulatory authorities of the country or region where it is located and the banking regulatory agency of the State Council.