ANNOUNCEMENT 09 Nov 2014
September 11th, 2014 - the Chinese authorities announced a liberalising change to the rules regarding foreign-invested banks' investment actions in the PRC.
NUMBER OF INTERVENTIONS
China Banking Regulatory Commission, September 11th, 2014. (中国银监会令 2014年第6号 《中国银监会外资银行行政许可事项实施办法》)
In September 2014, the China Banking Regulatory Commission (CBRC) released an update to the regulations surrounding foreign-controlled banks' investment activities within the PRC.
The measure replaces a previous set of rules from 2006.
The key changes are as follows:
1. The following administrative licensing items which the State Council requested removal of have been confirmed:
2. Licensing procedures have been simplified. e.g. small amendments to firms' articles of association may now be conducted without prior approval by the CBRC.
3. Expanded coverage of measures. e.g. provision of RMB services to Chinese nationals by a foreign-funded bank incorporated with legal person status.
4. Some regulations have been more concretely stipulated, e.g. now included in the regulations are a set of negative criteria that would prevent persons from being appointed to director/senior management positions in a foreign-funded bank.
5. Several market access standards brought closer in line with that for Chinese banks: