Laws of the People's Republic of China

The People's Bank of China

Circular of the People's Bank of China (PBOC) for Authorizing its Operation Management Departments and Branches to Examine and Approve Applications of the Representative Offices of Foreign-invested Banks in China for Extension of Period

YinFa [2001] No.402

December 11, 2001

All branches and operation management departments of PBOC:

To improve the efficiency of supervision, the head office of PBOC decides to authorize its branches and operation management departments to examine and approve applications of the representative offices of foreign-invested banks in China (hereinafter referred to as "representative offices") for extension of period. Related issues are hereby notified as follows:

1.

All branches and operation management departments of PBOC are responsible for processing applications of representative offices in cities under their administration or those transferred by PBOC sub-branches for extension of period. In accordance with the Administrative Measures for Representative Offices of Foreign Financial Institutions in China, those that meet the requirements on extension of period should be examined by PBOC branches or operation management departments for approval and simultaneously copied to relevant units and kept on file in PBOC head office; applications of those that fail to meet the requirements should be promptly transferred to the head office for processing.

2.

The approval documentation should include an approval letter and an approval book. The approval letter is reply to the applicant who meets the requirements on extension of period. The reply to the representative office should be prepared in reference to the letter format (refer to Attachment 1 for the format). Other copies of the reply for reporting, circulation and internal transfer should be prepared in formal document format. The approval book (refer to Attachment 2 for the format) is used for the representative office to complete related procedures.

3.

As for those institutions that fail to submit applications for extension of period within the prescribed time limit, PBOC branches and operation management departments are kindly requested to refer to the practice of the head office and demand an apology letter explaining the reason from chief of the competent department of the applicant.

Please forward this circular to relevant branches and sub-branches of People's Bank of China under your administration.

Attachment

I: Sample Book of Approval Letter (omitted)

II: Sample Book of Approval Book (omitted)