(Promulgated by China Banking Regulatory Commission on May 29, 2003)
In order to raise the efficiency of market access and promote financial innovation, China Banking Regulatory Commission decided to adjust the management style and procedure of banking market access. To be specific, it goes as follows:
I. Adjust the power of approving newly established branches
(I) Banking regulatory bureaus or branch bureaus directly under CBRC should receive and check the application materials of the policy-related banks, the state-owned commercial banks and the joint stock commercial banks within their jurisdiction area for preparing to construct branches and submit the materials to CBRC for approval. Banking bureaus or branch bureaus directly under CBRC should check the application materials for opening of the agencies CBRC have approved, present the agencies licenses and make a copy for CBRC. The style and procedure of approving newly established foreign branches have no changes.
(II) Banking bureaus or branch bureaus directly under CBRC should receive and approve the application materials of various banks in the same cities for preparing to construct and opening branches and present them licenses.
(III) Branch bureaus directly under CBRC are in charge of receiving and checking the application materials of various banks in their jurisdiction area for preparing to construct branches and submit them to banking regulatory bureaus for approval; Branch banking regulatory bureaus should check the application materials for opening of the agencies banking regulatory bureaus have approved, present the agencies licenses and make a copy for banking regulatory bureaus.
II. Adjust the style of approving new business:
(I) Eliminating the approval of the following business in Chinese banks: domestic factoring, liquidation of funds from agency securities (Bank-Security Transfer), agent insurance, investment trusteeship by securities companies, trusteeship of credit capital, pension trusteeship by enterprises. Eliminating the records of the following business of Chinese banks: interest-paid note discount from buyer or agreement, overdraft of accounts of legal persons and agent of payment of trust products.
(II) Eliminating the records of the following business in foreign banks: domestic factoring, interest-paid note discount from buyer or agreement and overdraft of accounts of legal persons.
(III) Within 10 working days after state-owned commercial banks and holding commercial banks began the above-mentioned business, their general banks should report to CBRC in written form. Furthermore, city commercial banks, rural commercial banks and foreign banks only need report to banking regulatory bureaus or branch bureaus directly under CBRC or branch banking regulatory bureaus in the same place within 10 working days after starting the above-mentioned business.
(IV) Different banks are entitled to authorize their affiliated agencies meeting the requirement to do the new business which has been approved. The branches of various banks can start new business after authorized by upper level banks and they should submit written reports to local banking regulatory bureaus or branches directly under CBRC or branch banking regulatory bureaus within 10 working days after starting the business.
III. adjust the style of checking and approving the qualification of holding posts of senior administrative personnel:
(I) In Chinese banks, solely-owned banks established by foreign investors and Sino-foreign joint venture banks, for the senior administrative personnel who make parallel transfer, if they have obtained the approval of taking posts, the former approval is effective and does not need checking and approving again.
(II) The above-mentioned senior administrative personnel may submit their auditing reports for leaving posts and materials related to holding offices to local banking regulatory bureaus or branches directly under CBRC or branch banking regulatory bureaus within 1 month after leaving posts.
(III) Eliminating the records of post-holding qualifications of directors of foreign-invested banks' branches.
IV. Present style and procedure of market access of urban credit cooperatives, rural credit cooperatives and postal saving agencies maintain unchangeable.