Regulations Governing Domestic Branches of Financial Institutions Article 3
The competent authority may restrict the establishment of branches as applied by a bank or a credit cooperative (referred to as "financial institution" hereunder) in view of the domestic economic or financial situation.A financial institution applying for the establishment of a branch, except where the application is made to support the government's financial supervisory policy by assisting in the resolution of distressed financial institutions, where the proposed location is conducive to balanced urban and rural development, where the branch is to be established within a local asset management zone, or where otherwise provided in Paragraph 3, shall meet the following requirements:1. The ratio of a domestic bank's regulatory capital to risk-weighted assets at the end of the half year preceding application exceeds the ratio in the provisions of Article 5 of Regulations Governing the Capital Adequacy Ratio and Capital Category of Banks plus two percentage points. The ratio of a credit cooperative's regulatory capital to risk-weighted assets at the end of the half year preceding application exceeds the ratio in the provisions of Paragraph 1 of Article 3 of Regulations Governing the Capital Adequacy Ratio and Capital Grade of Credit Cooperatives plus two percentage points;2. The non-performing loan ratio at the end of the most recent quarter in the year of application does not exceed 1.5%;3. The bad debt reserve coverage ratio at the end of the most recent quarter in the year of application exceeds 80%;4. The average before-tax return on equity in the three years prior to application exceeds 1 times of average ROE of domestic banks and credit cooperatives. But if 1 times the average ROE of domestic banks and credit cooperatives in the three years prior to application exceeds 4%, then a credit cooperative may meet this requirement if its average before-tax return on equity in the three years prior to application reaches 4%, or if its average ratio of self-owned capital to risk-weighted assets in the three years prior to application reaches 12%;5. No loss and cumulative loss after final settlement in the year preceding application or after half-year final settlement in the year of application;6. Free of incident of being disciplined by the competent authority due to violation of financial regulations in the past year, or having made concrete improvement over any violation with approval from the competent authority;7. The responsible person was free of incident in the past year of being convicted of a willfully committed business crime where the judgment was final;8. Having reported fraud cases occurred in the past year as required and free of frauds of serious nature;9. All deficiencies as redressed by the competent authority or the Central Bank of China before the end of year preceding application or before end of June in the year of application have been effectively improved;10. Free of major incident of security endangerment due to negligence in security management in the past year.A financial institution that does not meet the requirement set forth in Subparagraph 4 of the preceding paragraph may apply for the establishment of branches each year; the number of branches shall be limited to one.If a bank applies for a transformation to commercial bank status in accordance with Paragraph 1, Article 58 of the Banking Act, it may concurrently file an application to establish new branches. However, the aggregate number of new branches and previously established branches shall not be more than five.
中文原文 金融機構國內分支機構管理辦法第3條
銀行及信用合作社（以下稱金融機構）申請增設分支機構，主管機關得視國內經濟、金融情形，限制其增設。
金融機構申請增設分支機構，除配合金融監理政策協助處理經營不善金融機構、申請設置地點有益城鄉均衡發展、為進駐地方資產管理專區或第三項另有規定者外，應符合下列條件：
一、本國銀行申請前半年底自有資本與風險性資產之比率達銀行資本適足性及資本等級管理辦法第五條規定加計二個百分點以上。
信用合作社申請前半年底自有資本與風險性資產之比率達信用合作社資本適足性及資本等級管理辦法第三條第一項規定加計二個百分點以上。
二、申請當年度最近一季底逾期放款比率未逾百分之一點五。
三、申請當年度最近一季底備抵呆帳覆蓋率達百分之八十以上。
四、申請前三年度平均稅前淨值報酬率達本國銀行及信用合作社同業三年平均值之一倍以上。
但本國銀行及信用合作社同業三年平均值之一倍逾百分之四時，信用合作社申請前三年度平均稅前淨值報酬率達百分之四以上，或申請前三年底平均自有資本與風險性資產比率達百分之十二以上者，亦得為之。
五、申請前一年度決算或當年度半年結算後無虧損及累積虧損。
六、最近一年內無因違反金融相關法規，受主管機關處分之情事，或有違法情事，已具體改善，並經主管機關認可。
七、最近一年內負責人無因業務上故意犯罪，經判處罪刑確定之情事。
八、最近一年內發生舞弊案均依規定呈報且無情節重大之情事。
九、申請前一年底或當年度六月底前經主管機關或中央銀行糾正之缺失，均已切實改善。
十、最近一年內無未注意安全維護致生重大危安事故之情事。
金融機構未符合前項第四款所定條件者，每年得申請增設分支機構，並以一家為限。
銀行依銀行法第五十八條第一項規定，申請變更為商業銀行者，得同時申請設立分支機構，惟併計已設立之分支機構，以五家為限。
金融機構申請增設分支機構，除配合金融監理政策協助處理經營不善金融機構、申請設置地點有益城鄉均衡發展、為進駐地方資產管理專區或第三項另有規定者外，應符合下列條件：
一、本國銀行申請前半年底自有資本與風險性資產之比率達銀行資本適足性及資本等級管理辦法第五條規定加計二個百分點以上。
信用合作社申請前半年底自有資本與風險性資產之比率達信用合作社資本適足性及資本等級管理辦法第三條第一項規定加計二個百分點以上。
二、申請當年度最近一季底逾期放款比率未逾百分之一點五。
三、申請當年度最近一季底備抵呆帳覆蓋率達百分之八十以上。
四、申請前三年度平均稅前淨值報酬率達本國銀行及信用合作社同業三年平均值之一倍以上。
但本國銀行及信用合作社同業三年平均值之一倍逾百分之四時，信用合作社申請前三年度平均稅前淨值報酬率達百分之四以上，或申請前三年底平均自有資本與風險性資產比率達百分之十二以上者，亦得為之。
五、申請前一年度決算或當年度半年結算後無虧損及累積虧損。
六、最近一年內無因違反金融相關法規，受主管機關處分之情事，或有違法情事，已具體改善，並經主管機關認可。
七、最近一年內負責人無因業務上故意犯罪，經判處罪刑確定之情事。
八、最近一年內發生舞弊案均依規定呈報且無情節重大之情事。
九、申請前一年底或當年度六月底前經主管機關或中央銀行糾正之缺失，均已切實改善。
十、最近一年內無未注意安全維護致生重大危安事故之情事。
金融機構未符合前項第四款所定條件者，每年得申請增設分支機構，並以一家為限。
銀行依銀行法第五十八條第一項規定，申請變更為商業銀行者，得同時申請設立分支機構，惟併計已設立之分支機構，以五家為限。