Important Measures in April 2008
PRESS RELEASE Release Date: May 13, 2008
Important Measures in April 2008
In line with the policy of promoting the liberalization, internationalization, and development of the foreign exchange market, the Bank took the following measures in April 2008:
1.Approved Chinatrust Commercial Bank to operate FCY Structured Products composed of FCY Loans linked to “FCY Interest Rate Swaps”, “FCY Interest Rate Options and Interest Rate Swaptions”, “FCY Interest Rate Swaps and Interest Rate Options”.
2. Allowed the following authorized banks to conduct foreign exchange derivatives business via the negative list approach:
（1）China Development Industrial Bank: FCY Interest Rate Options.
（2）Sumitomo Mitsui Banking Corporation: FCY Structured Products composed of FCY Time Deposits link to FCY Options.
（3）Citibank (Taiwan): FCY Structured Products composed of FCY deposits linked to FCY Interest Rate Swaps and FCY Interest Rate Options.
（4）E. Sun Commercial Bank: FCY Structured Products composed of FCY Time Deposits link to FCY Interest Rate Swaps, FCY Interest Rate Options and FCY Interest Rate Swaptions.
3. Approved China Life Insurance Co. to operate both investment-linked insurance business settled in foreign currencies and foreign currency loans secured by investment-linked insurance policy.
4. Authorized 15 branches of 4 banking enterprises to operate the full range of foreign exchange business. As of the end of April 2008, there were 1,257 authorized foreign exchange banks, including 1,177 domestic banks and 80 foreign banks. In addition, 1 branch of Cathay United Bank was approved to sell/buy foreign currency banknotes and traveler’s checks.