The Chinese banking system

Résumé du document

The Central Bank is the only monetary policy-making and policy-executing entity in the Republic of China. Its organization structure is split into two independent entities: The decision-making body and the decision-executing body. The decision-making body, which is more important, is composed of three parts, the Board of Directors, the Board of Supervisors and the Governor & Deputy Governors. The board of Directors is the highest decision making body of the Bank. It consists of eleven to fifteen directors nominated by the Cabinet (Executive Yuan) and appointed by the President. Five to seven directors of the Board are designated as Executive directors. According to the Central Bank of China Act, the Governor of the Central Bank, the Minister of Finance and the Minister of Economic Affairs are the ex-officio directors and executive directors. All Directors, except the ex-officio directors, are appointed for a term of five years and can be reappointed upon the expiration of their term. The Board meets four times a year. Currently, the Board consists of fifteen members, of whom six are concurrently executive directors.

Extraits

[...] The Chinese Banking System I. Organisation The Central Bank is the only monetary policy-making and policy-executing entity in the Republic of China. Its organization structure is split in two independent entities: The decision-making body and the decision-executing body. The decision-making body, which is the most important, is composed of three parts: the Board of Directors, the Board of Supervisors, and the Governor and Deputy Governors. The Board of Directors The board of Directors is the highest decision making body of the Bank. [...]

[...] The Board meets four times a year. Currently, the Board consists of fifteen members, of whom six are concurrently executive directors. The Board of Supervisors The Board of supervisors is authorized to examine the Bank's assets and liabilities and to audit its accounts. It consists of five to seven supervisors, and all of them are nominated by the Cabinet (Executive Yuan) and appointed by the President. There are five supervisors at present. The Director General of the Directorate-General of Budget, Accounting and Statistics of the Executive Yuan is an ex officio supervisor. [...]

[...] In the first quarter, an investment quota totaling US$325 million of QFII was approved. Third, six policies regarding the management of current accounts, such as current account foreign exchange accounts, were adjusted: prior approval for opening foreign exchange accounts for current account transactions was abolished and the limits for corporate foreign exchange accounts increased. Documents required for the sale and purchase of foreign exchange in the service trades were simplified with the examination and approval procedures relaxed, and the indicative limits on the purchase of foreign exchange by individuals were increased up to a yearly quota. [...]

[...] The relatively fast growth of M2 was caused mainly by higher growth of savings deposits and corporate time deposits. At end-March, cash in circulation grew by 10.5 percent y-o-y to 2.3 trillion yuan. Net cash withdrawals in the first quarter totaled 56 billion yuan billion yuan more than during the same period of the previous year. Outstanding loans of financial institutions in both RMB and foreign currencies reached 21.9 trillion yuan at end-March, representing a growth of 14 percent y-o-y or an increase of 1.28 trillion yuan over the beginning of the year, accelerating by 455.4 billion yuan compared with the previous year. [...]

[...] ) of all financial institutions. Seventh, Statistics and Research: the BCB collects data on financial statistics, flow of funds and BOP and communicate them to domestic and international institutions. These data concern multiple economic and financial subjects. And, eighth, the Central Bank of China participates in international organizations. Indeed, it is a member of more than six organizations (Inter- American Development Bank IDB, the Bank for International Settlements BIS ) in order to improve and strengthen its relations with other members of these organizations. [...]