TOPTaiwan to ease acquisition rules for Chinese banks

Taiwan to ease acquisition rules for Chinese banks

By admin


By admin

Taiwan has said it will ease rules on acquisitions by mainland Chinese firms, in a move seen as a major boost in cross-strait relations.

Taiwan will allow Chinese banks to buy as much as 15% stakes in unlisted local banks, while investments in a financial holding’s unit will be lifted to 20%, the China Banking Regulatory Commission and the Financial Supervisory Commission said in a joint briefing. The rules will come into effect over the next few months.

Taiwanese banks will eventually be granted permission to open a second unit in the same city in the mainland with the CBRC vowing to speed up the review process, a CBRC official told Reuters.

Taipei has previously voiced concerns over Chinese influence, stalling efforts to bolster ties between the two sides’ financial sectors, Reuters reports.

China still regards the self-ruled island as its own territory under the One China policy. Beijing stressed it has the right to use military force to reclaim the island.