Regulations Governing Foreign Bank Branches And Representative Offices Article 18

If Article 72, 72-2, 74-1 and/or 75 of the Banking Act applies, a foreign bank branch's "calculating basis of total amount of deposits", shall include, in addition to deposits in New Taiwan Dollars and foreign currencies, working capital remitted from the head office in its home country, actual drawdowns under credit lines from its head office and interbank time deposits from its overseas branches with terms of more than one year.The term "actual drawdowns under credit lines from its head office" specified in the preceding paragraph includes "short-term loans of one-year or less received from the head office and its overseas branches ". However, the said "short-term loans of one-year or less" are not included in the "calculating basis of total amount of deposits" subject to mutatis mutandis application of Article 72-2 and Article 75 of the Banking Act.When a foreign bank branch uses short-term fund specified in the preceding paragraph to extend loans or invest in securities, it shall establish management mechanisms including the maturity and allocation of assets and liabilities and liquidity risk management.