Regulations Governing the Banking Activity and the Establishment and the Investment by Financial Institution Between the Taiwan Area and the Mainland Area Article 11

With approval of the Competent Authority, the third-area branches and OBUs of a Taiwan bank may engage in the following financial activities with individuals, juristic persons, organizations, other institutions in Mainland Area and their branches in any country and area outside Mainland Area:1. The third-area branches: The businesses as approved by local financial competent authority. But those do not comply with Taiwan area financial laws and regulations shall be reported to the Competent Authority for prior approval.2. OBUs: The businesses shall be limited to those a commercial bank may operate under the Offshore Banking Act.Where the counterparty to a business transaction has obtained a residence permit or has been granted a business registration certificate or license in Taiwan Area, the business transaction shall be handled in accordance with the rules and regulations applicable to individuals, juristic persons, organizations and other institutions in Taiwan Area.