The Central Bank of China

PRESS RELEASE Release Date: February 11, 2002




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Important Measures in January, 2002

In line with the policy of liberalization and internationalization, and for further development of foreign exchange business, the Central Bank of China (CBC) took the following measures in January 2002:

1. Approved the following Authorized Banks to operate derivatives business:

(1) First Commercial Bank operates NTD/FCY Cross Currency Swaps business, Foreign Currency Cross Currency Swaps business.

(2) Grand Commercial Bank operates Foreign Currency Cross Currency Swaps business, Foreign Interest Rate Swaps business.

(3) Cathay United Bank operates NT Dollar Structured Deposits business, which is composted of NT Dollar Deposits and Foreign Currency Options.

(4) Taishin International Bank operates Foreign Currency Structured Deposits business, which is composed of Foreign Currency Time Deposits and Foreign Currency Options.

(5) Hsinchu Bank operates Foreign Currency Options business.

(6) KBC Bank N.Y., Taipei Branch operates FCY/FRA business.

(7) Standard Chartered Bank, Taipei Branch operates Foreign Interest Rate Options business.

(8) The Standard Bank of South Africa Ltd., Taipei Branch operates Foreign Currency Options business.

2. Authorized 8 branches of 5 domestic banks to operate foreign exchange business. In addition, 9 non-authorized foreign exchange banks were approved to sell/buy foreign currency banknotes and traveler's checks. As of the end of January, there were 986 authorized foreign exchange banks, including 920 domestic banks and 66 foreign banks.