Overview of offshore banking units (May 2005)
PRESS RELEASE Release Date: July 7, 2005
Overview of offshore banking units (May 2005)
At the end of May 2005, there were 69 offshore banking units (OBUs) including 41 domestic banks and 28 foreign banks. The combined assets of all OBUs amounted to US$70.655 billion at the end of May 2005, an increase of US$1.476 billion or 2.13% compared to the same period of the previous year. Domestic bank OBUs accounted for US$49.184 billion or 70% of these combined assets, and foreign bank OBUs accounted for US$21.471 billion or 30% of the total.
Based on balance sheet analysis, the OBUs main sources of funds were due to related offices and deposits by financial institutions which accounted for 61% of total liabilities including (1) due to related offices for 45%, (2) deposits by financial institutions situated locally for 7%, (3) deposits by financial institutions located overseas for 5%, and (4) inter-OBU deposits for 4%. The other sources of funds included deposits by non-financial institutions, accounting for 26% of total liabilities, and other liabilities plus the equity of head office for 13%. In terms of the area of origin, Asia accounted for 63%, followed by America for 20%, Europe for 12%, and other areas for 5%.
The main uses for funds were due from related offices and deposits with financial institutions which accounted for 53% of total assets consisting of (1) due from related offices for 38%, (2) deposits overseas for 7%, (3) deposits with domestic OBUs for 4%, and (4) deposits with other domestic financial institutions for 4%. The other uses of funds included (1) loans for 25%, (2) security investments for 10%, and (3) other assets for 12%. Asia was the main destination for funds, accounting for 67%, followed by America for 20%, Europe for 10%, and other areas for 3%.
The total value of all outstanding loans made by OBUs at the end of May 2005 was US$17.955 billion, of which 86% was extended to overseas clients including long-term loans for US$8.593 billion, and short- term loans for US$6.860 billion, and 14% was extended to local clients for US$2.502 billion.
The volume of export related banking business of all OBUs in May 2005 was US$6.953 billion including (1) export collection plus export remittance accounted for US$5.533 billion, and (2) export negotiation for US$1.420 billion. The volume of import related banking business of all OBUs was US$6.908 billion.
The turnover of foreign exchange trading by all OBUs in May 2005 was US$8.463 billion consisting of (1) spot transactions for US$5.721 billion, (2) outright forwards for US$1.607 billion, and (3) foreign exchange swaps for US$ 1.135 billion.
The turnover of other derivative products trading by all OBUs in May 2005 was US$5.464 billion including (1) options accounted for US$3.744 billion, (2) financial futures for US$1.425 billion, (3) foreign currency interest rate swaps for 0.243 billion, (4) margin account trading for US$0.033 billion, (5) credit derivatives for US$0.010 billion, (6) cross currency swaps（not involving NT dollar） for US$0.005 billion, and (7) commodity swaps for US$0.004 billion.
Note: The next dissemination will be made at 16:20 p.m. on August 9, 2005.