Overview of offshore banking units (November 2006)
PRESS RELEASE Release Date: January 8, 2007
Overview of offshore banking units (November 2006)
At the end of November 2006, there were 66 offshore banking units (OBUs) including 39 domestic banks and 27 foreign banks. The combined assets of all OBUs amounted to US$71.298 billion at the end of November 2006, an increase of US$4.598 billion or 6.89% compared to the same period of the previous year. Domestic bank OBUs accounted for US$52.795 billion or 74% of these combined assets, and foreign bank OBUs accounted for US$18.503 billion or 26% of the total.
The turnover of foreign exchange trading by all OBUs in November 2006 was US$8.914 billion consisting of (1) spot transactions for US$5.772 billion, (2) foreign exchange swaps for US$ 1.839 billion, and (3) outright forwards for US$1.303 billion.
Based on balance sheet analysis, the OBUs main sources of funds were due to related offices and deposits by financial institutions, which accounted for 58% of total liabilities including (1) due to related offices for 49%, (2) deposits by financial institutions situated locally for 5%, (3) inter-OBU deposits for 3%, and (4) deposits by financial institutions located overseas for 1%. The other sources of funds included deposits by non-financial institutions accounting for 34% of total liabilities, and other liabilities plus the equity of head office for 8%. In terms of the area of origin, Asia accounted for 68%, followed by America for 24%, Europe for 6%, and other areas for 2%.
The main uses for funds were due from related offices and deposits with financial institutions, which accounted for 50% of total assets including (1) due from related offices for 30%, (2) deposits overseas for 13%, (3) deposits with domestic OBUs for 3%, (4) deposits with other domestic financial institutions for 4 %. The other uses of funds included (1) loans for 29%, (2) security investments for 14%, and (3) other assets for 7%. Asia was the main destination for funds, accounting for 59%, followed by America for 27%, Europe for 12%, and other areas for 2%.
The total value of all outstanding loans made by OBUs at the end of November 2006 was US$20.476 billion, of which 94% was extended to overseas clients, including long-term loans for US$11.381 billion and short-term loans for US$7.861 billion. The remaining 6% was extended to local clients for US$1.234 billion.
The volume of export related banking business of all OBUs in November 2006 was US$17.958 billion including (1) export collection, export remittance, and accounts receivable factoring for US$16.341 billion, and (2) export negotiation for US$1.617 billion. The volume of import related banking business of all OBUs was US$17.857 billion.
The turnover of other derivative products trading by all OBUs in November 2006 was US$14.208 billion including (1) options for US$9.869 billion, (2) financial futures for US$3.757 billion, (3) foreign currency interest rate swaps for US$249million, (4) cross currency swaps（not involving NT dollar）for US$186 million, (5) margin account trading for US$84 million, (6) credit derivatives for US$63 million .
Note: The next dissemination will be made at 16:20 p.m. on February 7, 2007.