ORGANIZACIÓN MUNDIAL
DEL COMERCIOS/C/N/215
24 de diciembre de 2002
(02-7094)
Consejo del Comercio de Servicios Original:  inglés
NOTIFICACIÓN DE CONFORMIDAD CON EL PÁRRAFO 3 DEL
ARTÍCULO III D EL ACUERDO GENERAL SOBRE
EL COMERCIO DE SERVICIOS
Se ha recibido de la delegación de la República Popular China la siguiente notificación.
_______________
1. Miembro que notifica:
La República Popular China
2. Notificación en virtud del:
Párrafo 3 del artículo III del Acuerdo General sobre el Comercio de Servicios
3. Fecha de entrada en vigor/duración:
20.12.2001
4. Organismo responsable de la aplicación de la medida:
Banco Popular de China
5. Descripción de la medida* indicando las formas de suministro previstas, los efectos en el
comercio de servicios (como por ejemplo restricciones a la liberalización o medidas deliberalización) e incidencia de la medida en los compromisos enunciados en la Lista del
Miembro y en su Lista de exenciones del artículo II (NMF), en su caso:
Reglamento de administración de instituciones financieras financiadas con capital extranjero
Se adjunta el texto completo de la traducción del reglamento al inglés.
1  La traducción al
inglés se facilita únicamente a efectos de consulta y la versión china será la auténtica.
6. Miembros específicamente afectados, en su caso:
Todos los Miembros
                                                     
* Incluidos los acuerdos internacionales y las medidas de reconocimiento o de otro tipo.
1 En inglés solamente.S/C/N/215
Página 2
7. Texto disponible en:
- Servicio de información /g254
- Secretaría de la OMC /g254
- Otras fuentes (dirección, fax y
teléfono de otro organismo) /g168S/C/N/215
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Regulations of the People’s Republic of China on Administration of
Foreign-Funded Financial Institutions
(Adopted at the 50th Executive Meeting of th e State Council on December 12, 2001, promulgated by
Decree No.340 of the State Council of the People’s Republic of China on December 20, 2001, andeffective as of February 1, 2002)
Chapter I General Provisions
Article 1 These Regulations are formulated for the purposes of meeting the needs of opening
up to the outside world and economic development, strengthening and improving the administration
of foreign-funded financial institutions, and promoting stable and sound operation of the bankingindustry.
Article 2 As used in these Regulations, "a foreign-funded financial institution" refers to any of
the following financial institutions that are inco rporated and engaged in business operations within
Chinese territory upon approval in accordance with the provisions of the relevant laws and regulationsof the People’s Republic of China:
(1) a foreign-capital bank with its headquarters  incorporated within Chinese territory
(hereinafter referred to as a solely foreign-funded bank);
(2) a branch incorporated within Chinese territory by a foreign bank (hereinafter referred
to as a foreign bank branch);
(3) a bank with joint capital operated within Chinese territory by a foreign financial
institution jointly with any Chinese company or enterprise (hereinafter referred to as a
joint equity bank);
(4) a finance company with foreign capital whose head office is domiciled within
Chinese territory (hereinafter referred to as a solely foreign-funded financecompany); or
(5) a finance company with joint capital operated within Chinese territory by a foreign
financial institution jointly with any Chinese company or enterprise (hereinafter
referred to as a joint equity finance company).
Article 3 Foreign-funded financial institutions shall abide by the laws and regulations of the
People’s Republic of China, and may not harm the soci al and public interests of the People’s Republic
of China.
The legitimate business activities and lawful rights and interests of foreign-funded financial
institutions are protected by the laws of the People’s Republic of China.
Article 4 The People’s Bank of China is the competent organ for administration and
supervision of foreign-funded financial institutions; and the branch offices of the People’s Bank of
China shall exercise routine supervision and control of foreign-funded financial institutions under
their jurisdiction.
Chapter II Incorporation and Registration
Article 5 The minimum registered capital for a solely foreign-funded bank or a joint equity
bank shall be the amount of freely convertible currencies equivalent to Renminbi 300 million yuan.
The minimum registered capital for a solely foreign-funded finance company or a joint  equity financecompany shall be the amount of freely convertible currencies equivalent to Renminbi 200 million
yuan. The registered capital shall be paid-up capital.S/C/N/215
Página 4
A foreign bank branch shall receive from its head office non-callable allocation of freely convertible
currencies equivalent to an amount of not less than Renminbi 100 million yuan as its operating
capital.
The People’s Bank of China may, on the basis of the business scope of a foreign funded financial
institution and the need of prudential supervision, increase the minimum requirement for its registeredcapital or operating capital, and determine th e portion of capital or funds in Renminbi.
Article 6 To incorporate a solely foreign-funded bank or a solely foreign-funded finance
company, the applicant shall satisfy the following requirements:
(1) the applicant is a financial institution;
(2) the applicant has maintained a representative office within Chinese territory for over
two years;
(3) the total assets of the applicant at the end of the year prior to the submission of such 
an application shall not be less than US$ 10 billion;
(4) the home country or region of the applicant maintains a sound system in respect of
financial supervision and control, and the applicant is subject to effective supervision
of the relevant regulatory authorities in its home country or region;
(5) the relevant regulatory authorities in the home country or region of the applicant has
approved its application;
(6) other prudential requirements prescribed by the People’s Bank of China.
Article 7 To incorporate a foreign bank branch, th e applicant shall satisfy the following
requirements:
(1) the applicant has maintained a representative office within Chinese territory for over
two years;
(2) the total assets of the applicant at the end of the year prior to the submission of such
an application shall not be less than US$ 20 billion, and the capital adequacy ratioshall not be lower than 8 per cent;
(3) the home country or region of the applicant maintains a sound system in respect of
financial supervision and control, and the applicant is subject to effective supervision
of the relevant regulatory authorities in its home country or region;
(4) the relevant regulatory authorities in the home country or region of the applicant has
approved its application;
(5) other prudential requirements prescribed by the People’s Bank of China.
Article 8 To incorporate a joint equity bank or a joint equity finance company, the applicant
shall satisfy the following requirements:
(1) the foreign party to the bank or company is a financial institution;
(2) the foreign party to the bank or company has set up a representative office within
Chinese territory;
(3) the total assets of the foreign party to the bank or company at the end of the year prior
to the submission of such an application shall not be less than US$ 10 billion;
(4) the home country or region of the foreign party to the bank or company maintains a
sound system in respect of financial supervision and control, and the foreign party tothe bank or company is subject to effective supervision of the relevant regulatory
authorities in its home country or region;
(5) the relevant regulatory authorities in the home country or region of the foreign party
to the bank or company has approved its application;
(6) other prudential requirements prescribed by the People’s Bank of China.
Article 9 To incorporate a solely foreign-funded bank or a solely foreign-funded finance
company, the applicant shall make a written application to the People’s Bank of China and submit the
following documents:S/C/N/215
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(1) written application for the incorporation of the solely foreign-funded bank or the
solely foreign-funded finance company, which shall include the name of the proposed
solely foreign-funded bank or the solely foreign-funded finance company, the
registered capital, and the types of business operations the bank or the company
applies to engage in, etc.;
(2) a feasibility study report;
(3) the articles of association of the proposed solely foreign funded bank or the solely 
foreign-funded finance company;
(4) the business licence (photocopy) issued by the relevant competent regulatory
authorities of the home country or region of the applicant and a written opinion of the
authorities on its application;
(5) the annual reports of the applicant for the last three successive years; and(6) other data to be submitted as required by the People’s Bank of China.
Article 10 To incorporate a foreign bank branch, the head office of the foreign bank shall make
a written application to the People’s Bank of China and submit the following documents:
(1) a written application duly signed by the legal representative, which shall include the
name of the proposed foreign bank branch, the amount of the non-callable operating
capital allocated by the head office, and the types of business operations the foreign
bank branch applies to engage in, etc.;
(2) a feasibility study report;
(3) the business licence (photocopy) issued by the competent regulatory authorities
concerned in the home country or region of the applicant and a written opinion of the
authorities on its application;
(5) the annual reports of the applicant for the last three successive years; and
(6) other data to be submitted as required by the People’s Bank of China.
Article 11 To incorporate a joint-equity bank or a jo int-equity finance company, all the parties
thereto shall jointly make a written application to the People’s Bank of China and submit the
following documents:
(1) a written application for the incorporation of the proposed joint-equity bank or the
proposed joint-equity finance company, which sh all include the name of the proposed joint-
equity bank or the proposed joint-equity finance company, the name of each investing party
thereto, the amount of the registered capital, the respective percentage of contributions by theparties, and the types of business operations the proposed joint-equity bank or the proposed
joint-equity finance company applies to engage in, etc.;
(2) a feasibility study report;
(3) the contract for joint-equity operation, and the articles of association of the proposed
joint-equity bank or the proposed joint-equity finance company;
(4) the business licence (photocopy) issued by the competent regulatory authorities
concerned in the home country or region of the foreign party and a written opinion of
the authorities on its application;
(5) the annual reports of the foreign party for the last three successive years;
(6) relevant data about the Chinese party;(7) other data to be submitted as required by the People’s Bank of China.
Article 12 The documents listed in Articles 9, 10 and 11 of these Regulations, with the
exception of the annual reports, if written in a foreign language, shall be submitted together with a
Chinese translation thereof.
Article 13 The People’s Bank of China shall conduct a preliminary examination of the
application for incorporation of a foreign-funded financial institution, and shall, within six months
from the date of receipt of complete application documents, decide whether or not to accept theS/C/N/215
Página 6
application. If it decides to accept the application, it shall issue a formal application form to the
applicant; if it decides to reject the application, it shall notify the applicant in writing and give the
reasons therefor.
Where, in special circumstances, the People’s Bank of China cannot complete the preliminary
examination and decide whether or not to accept th e application within the time limit provided for in
the preceding paragraph, the time limit may be appropriately extended and the applicant shall be
notified of the extension; the extended period, however, shall not be over three months.
Article 14 The applicant shall, within six months from the date of receipt of the formal
application form, complete the preparation for the establishment of the new institution. If failing to
accomplish the preparation work within the given time limit with a proper reason, the applicant may,subject to the approval of the People’s Bank of China, be given an extension for three months. Where
the preparatory work has not been accomplished even  after the extended period expires, the decision
of acceptance made by the People’s Bank of China shall automatically become invalid. After
accomplishing the preparation work, the applicant shall submit the completed application form,
together with the following documents, to the People’s Bank of China for approval:
(1) a list of the principal persons in charge of the proposed foreign-funded financial
institution and their respective curriculum vitae;
(2) powers of attorney granted to the proposed principal persons in charge of the foreign-
funded financial institution;
(3) a capital verification certificate issued by a statutory capital verification organization;(4) data of security and precautious measures and other business-related facilities;
(5) in the case of incorporation of a foreign bank branch, a bond issued by the head office
guaranteeing the tax and debt obligations of the branch; and
(6) other documents to be submitted as required by the People’s Bank of China.
Article 15 The People’s Bank of China shall, within two months from the date of receipt of the
complete and formal application documents for the incorporation of a foreign-funded financial
institution, make a decision of approval or disapproval of the application. If a decision of approval is
made, it shall issue a license for conducting financial business to the applicant; if a decision of
disapproval is made, it shall notify the applicant in writing and give the reasons therefore.
Article 16 Where the establishment of a foreign-funded financial institution is approved, the
applicant shall, on the strength of the license for conducting financial business, register with the
administration department of industry and commerce for a business license.
Chapter III Scope of Business
Article 17 A solely foreign-funded bank, a foreign bank branch or a joint-equity bank may, in
accordance with the scope of business approved by the People’s Bank of China, engage in part or all
of the following business operations:
(1) taking in deposits from the general public;
(2) granting short-term, medium-term and long-term loans;(3) handling acceptance and discount of negotiable instruments;
(4) buying and selling government bonds and financial bonds, and buying and selling
foreign currency securities other than stocks;
(5) providing letter of credit services and guaranty;
(6) handling domestic and foreign settlement;(7) buying and selling foreign exchange and acting as an agent for the purchase and sale
of foreign exchange;
(8) exchange of foreign currencies;
(9) inter-bank lending;S/C/N/215
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(10) bank card business;
(11) providing safe deposit box services;
(12) providing credit and financial standing investigation and consultancy services; and
(13) other business operations approved by the People’s Bank of China.
Article 18 A solely foreign-funded finance company or a joint-equity finance company may, in
accordance with the scope of business approved by the People’s Bank of China, engage in part or all
of the following business operations:
(1) taking in deposits, each of which shall be no less than Renminbi one million yuan or
the equivalence in a freely convertible foreign currency, with maturity of at least
three months;
(2) granting short-term, medium-term and long-term loans;(3) handling acceptance and discount of negotiable instruments;
(4) buying and selling government bonds and financial bonds, and buying and selling
foreign currency securities other than stocks;
(5) providing guaranty;
(6) buying and selling foreign exchange and acting as an agent for the purchase and sale
of foreign exchange;
(7) inter-bank lending;
(8) providing credit and financial standing investigation and consultancy services;
(9) providing foreign exchange trust services;
(10) other business operations approved by the People’s Bank of China.
Article 19 The geographical coverage for the Renminbi business undertaken by foreign funded
financial institutions, and the scope of customers to whom such services are to be provided, shall be
verified and determined by the People’s Bank of China in accordance with the relevant provisions.
Article 20 To conduct Renminbi business, a foreign-funded financial institution shall satisfy the
following requirements:
(1) it has operated in Chinese territory for at least three years prior to the application;
(2) it has been making profits for the two consecutive years prior to the application; and
(3) other prudential requirements prescribed by the People’s Bank of China.
Article 21 Where a foreign-funded financial institution intends to operate a new type of business
within the scope of business approved by the People’s Bank of China, it shall submit a written
application to the People’s Bank of China prior to the operation. The People’s Bank of China shall,
within sixty days from the date of receipt of the written application, make a decision of approval or
disapproval. Where the People’s Bank of China makes a decision of disapproval, it shall notify the
applicant in writing and give the reasons therefor.
Chapter IV Supervision and Control
Article 22 The interest rates of deposits and loans and the rates of various service fees of a
foreign-funded financial institution shall be determined by itself in accordance with the relevantprovisions of the People’s Bank of China.
Article 23 Foreign-funded financial institutions that intend to engage in deposit-taking business
shall deposit required reserves with local branch offices of the People’s Bank of China, and the ratio
thereof shall be determined, and adjusted when necessary, by the People’s Bank of China.
Article 24 Thirty per cent of the operating capital of a foreign bank branch shall be maintained
in the form of interest-bearing assets as prescribed by the People’s Bank of China, including the
deposits with banks designated by the People’s Bank of China.S/C/N/215
Página 8
Article 25 The capital adequacy ratio for solely foreign-funded banks, joint-equity banks, solely
foreign-funded finance companies and joint-equity fi nance companies shall not be less than eight per
cent.
Article 26 The total outstanding lending to any one enterprise and its associated enterprises by a
solely foreign-funded bank, a joint-equity bank, a solely foreign-funded finance company or a joint-
equity finance company shall not exceed twenty-five per cent of its capital, unless otherwise approved
by the People’s Bank of China.
Article 27 The fixed assets owned by a solely foreign-funded bank, a joint-equity bank, a solely
foreign-funded finance company or a joint-equity fi nance company shall not exceed forty per cent of
its equity.
Article 28 The ratio of the share of Renminbi assets in its capital to the share of Renminbi assets
in its risk assets shall not be less than eight per cent for any solely foreign-funded bank, joint-equity
bank, solely foreign-funded finance company or joint-equity finance company.
For a foreign bank branch, the ratio of the share of Renminbi assets in the total amount of its
operating capital plus reserves to the share of Renminbi assets in its risk assets shall not be less than
eight per cent.
The People’s Bank of China shall, in accordance wi th the relevant provisions, adjust the ratios set
forth in the preceding two paragraphs step by step.
Article 29 Foreign-funded financial institutions shall ensure the liquidity of their assets. The
ratio of current assets to current liabilitie s shall not be less than twenty-five per cent.
Article 30 The total amount of foreign exchange deposits taken within Chinese territory by a
foreign-funded financial institution shall not exceed seventy per cent of its total foreign exchange
assets within Chinese territory.
The People’s Bank of China shall, in accordance with the relevant provisions, have the ratios laid
down in the preceding paragraph adjusted step by step.
Article 31 Foreign-funded financial institutions shall make provisions for loan loss (bad debt)
reserves in accordance with the relevant provisions.
Article 32 Foreign-funded financial institutions shall appoint Chinese certified public
accountants and such appointments shall be subject to confirmation by the local branch offices of the
People’s Bank of China.
Article 33 A foreign-funded financial institution shall, under any of the following
circumstances, be subject to the approval by the People’s Bank of China, and shall go throughrelevant formalities for registration with the administrative department for industry and commerce in
accordance with the law:
(1) establishing a branch office;
(2) adjusting or transferring registered capital, or, increasing or decreasing operating 
capital;
(3) changing the institution’s name or business premises;
(4) adjusting the scope of business;
(5) changing shareholders holding ten per cent or more of the total capital or total amount
of shares;S/C/N/215
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(6) making revisions to the articles of association;
(7) replacing a senior executive;
(8) any other circumstances prescribed by the People’s Bank of China.
Article 34 Foreign-funded financial institutions shall, in accordance with the relevant provisions,
submit their financial statements and relevant documents to the People’s Bank of China and its branch
offices concerned.
Article 35 The People’s Bank of China and its branch offices shall have the power to, on a
regular or ad hoc basis, inspect and audit deposits, loans, settlements and bad loans, etc. of foreign-
funded financial institutions, demand foreign funded financial institutions to submit relevant
documents, materials and written reports within a specified period of time, and to punish or deal with,according to law, the acts committed by foreign-funded financial institutions in violation of laws or
rules.
Article 36 The People’s Bank of China and its branch offices shall have the right to require
foreign financial institutions to formulate their operating rules in pursuance of pertinent provisions,and establish and improve the systems for business management, for cash control, and for security and
precautions.
Article 37 Foreign-funded financial institutions shall accept the supervision and examination
legally carried out by the People’s Bank of China and its local branch offices, shall truthfully submitdocuments, materials and written reports and shall not refuse or hamper the supervision or
examination or conceal such information.
Chapter V Dissolution and Liquidation
Article 38 In the case of voluntary termination of its business activities, a foreign-funded
financial institution shall, 30 days prior to the date of the termination, submit a written application to
the People’s Bank of China and shall, up on the examination and approval by the People’s Bank of
China, effect its dissolution and proceed to the liquidation.
Article 39 In the event that a foreign funded financial institution is unable to repay the debts at
maturity, the People’s Bank of China may order it to suspend its business and to clear its liabilitieswithin a specified period of time. Where, within the specified period of time, such an institution
recovers its solvency and intends to resume its bu siness, it shall make an application to the People’s
Bank of China for the resumption of its business; where it fails to recover its solvency when the
specified period of time is due, it shall effect its liquidation.
Article 40 Where a foreign-funded financial institution is terminated because of dissolution,
closure by law or declaration of bankruptcy, the specific matters relating to liquidation shall be dealt
with by reference to the relevant provisions of laws and regulations of China.
Article 41 Upon completion of the liquidation of a foreign-funded financial institution, the
cancellation of registration shall be completed with  the original registration authority within the
statutory period of time.
Chapter VI Legal Liability
Article 42 Any foreign-funded financial institutions established without the approval of the
People’s Bank of China, or illegally undertaking financial business, shall be closed down by the
People’s Bank of China, and criminal liability shall be investigated for in accordance with the relevant
provisions of the criminal law on the crime of establishment of financial institutions without approval,S/C/N/215
Página 10
the crime of illegally taking in deposits from the general public, or on any other crime; where the case
is not serious enough for criminal punishment, the People’s Bank of China shall have the illegal
income confiscated and impose concurrently a fine of not less than one time but not more than five
times the illegal income, or, if there is no illegal income or the illegal income is less than 100,000
yuan, a fine of not less than 100,000 yuan but not more than 500,000 yuan shall be imposed.
Article 43 Where a foreign-funded financial institution conducts financial business beyond the
scope of business, the geographical coverage or the scope of customers to whom its services are to be
provided, which have been approved by the People’s Bank of China, criminal liability shall be
investigated for in accordance with the relevant prov isions of the criminal law on the crime of illegal
business operation, or on any other crime; where the case is not serious enough for criminal
punishment, the People’s Bank of China shall give it a disciplinary warning, have the illegal incomeconfiscated and impose concurrently a fine of not less than one time but not more than five times the
illegal income, or, if there is no illegal income or the illegal income is less than 100,000 yuan, a fine
of not less than 100,000 yuan but not more than 500,000 yuan shall be imposed.
Article 44 Where a foreign-funded financial institution, without approval, operates a new type of
business within the scope of business approved by the People’s Bank of China, the People’s Bank of
China shall order it to stop the operation of the new type of business not being approved, have the
illegal income confiscated and impose concurrently a fine of not less than one time but not more than
three times the illegal income, or, if there is no illegal income or the illegal income is less than 50, 000
yuan, a fine of not less than 50,000 yuan but not more than 300,000 yuan shall be imposed.
Article 45 Where a foreign-funded financial institution undertakes any business in violation of
the provisions of Chapter IV of these Regulations, the People’s Bank of China shall give it a
disciplinary warning, have the illegal income confiscated and impose concurrently a fine of not less
than one time but not more than three times the illegal income, or, if there is no illegal income or theillegal income is less than 50,000 yuan, a fine of not less than 50,000 yuan but not more than 300,000
yuan shall be imposed.
Article 46 Where a foreign-funded financial institution, in violation of the relevant provisions of
these Regulations, refuses or hampers the supervision and examination legally carried out or submit
false documents, materials or written reports, the People’s Bank of China shall give it a disciplinary
warning and impose concurrently a fine of not less than 100,000 but not more than 500,000.
Article 47 Where a foreign-funded financial institution, in violation of the relevant provisions of
these Regulations, fails to submit its financial statements and relevant documents, materials or written
reports within the specified period of time, or fails to formulate relevant operating rules and to
establish and improve relevant management system, the People’s Bank of China shall give it awarning, order it to make corrections within a specified period of time, and impose concurrently a fine
of not less than 10,000 yuan but not more than 100,000 yuan.
Article 48 Where a foreign-funded financial institution violates these Regulations, in addition to
the penalties as provided for in Articles 43 to 47 of this Chapter, if the circumstances are serious, the
People’s Bank of China may order it to suspend its business for rectification or revoke its license for
engaging in financial business, or, have its senior executives disqualified from holding any positions
in China for a specified period of time or for life.
Article 49 Where a foreign-funded financial institution violates other laws or regulations of the
People’s Republic of China, the case shall be dealt with by the relevant competent authorities
according to law.S/C/N/215
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Chapter VII Supplementary Provisions
Article 50 These Regulations apply mutatis mutandis to institutions engaged in financial
business that are established and operated in Chinese mainland by financial institutions from the Hong
Kong Special Administrative Region, the Macao Special Administrative Region or Taiwan region.
Article 51 Measures for administration of representative offices established in China by foreign
financial institutions are to be formulated separately by the People’s Bank of China.
Article 52 These Regulations shall be effective as of February 1, 2002. The Regulations of the
People’s Republic of China on Administration of Financial Institutions with Foreign Capital
promulgated by the State Council on February 25, 1994 shall be repealed simultaneously
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