Important Measures in May 2005
In line with the policy of promoting the liberalization, internationalization, and development of the foreign exchange market, the Central Bank of China (CBC) announced the following measures in May 2005:
1.Approved the following authorized banks to operate new foreign exchange derivatives business:
(1)Chang Hwa Commercial Bank: NTD/FCY CCS, NTD/FCY Amortization CCS, Callable NTD/FCY CCS.
(2)Citibank: Credit Default Swap & Credit Default Option, NTD/FCY Swaption, and Structured Products composed of NTD/FCY CCS linked with NTD/FCY Swaption, NTD IRS, FCY IRS, NTD IRO, FCY IRO, FCY Interest Rate Swaption.
2.Authorized Barclays Bank Taipei Branch and Hua Nan Commercial Bank Nan Yung Ho Branch to operate the foreign exchange business. In addition, 3 non-authorized foreign exchange banks were approved to sell/buy foreign currency banknotes and traveler’s checks. As of the end of May 2005, there were 1,111 authorized foreign exchange banks, including 1,044 domestic banks and 67 foreign banks.