China facilitates the access of foreign banks in the domestic market

Almaty. December 22. KazTAG - China facilitates the access of foreign banks in the domestic market, reports Xinhua.
Under the new rules, foreign banks setting up branches in China will be exempt from the obligation to provide them with the established minimum funds for operational activities. While the current practice involves compulsory allocation of at least 100 million yuan ($16.4 million) or the same amount in other freely convertible currencies.
Also, according to current practice, before opening a branch in China (on Wholly Foreign Owned or mixed capital), a foreign bank must open an office here. Since the new year, this condition is canceled.
The new rules also apply to the conditions for obtaining authorization to conduct banking transactions in yuan. From 2015 the foreign bank must have worked in China for at least one year instead of three, as it was before. If a foreign bank has opened several branches in China and one of them already has a permit to conduct yuan operations, this restriction does not apply to other branches. Excluded from the list of conditions the need to ensure profitability for two consecutive years before applying for a permit.