Regulations Governing the Banking Activity and the Establishment and the Investment by Financial Institution Between the Taiwan Area and the Mainland Area Article 13

With approval of the Competent Authority, Taiwan banks approved by the Central Bank to handle foreign exchange business (referred to as “designated FX banks”) and Chunghwa Post may conduct foreign currency business with individuals, juristic persons, organizations, and other institutions in Mainland Area and their branches established in any country and area outside Mainland Area; Scope of foreign exchange business is that designated FX banks may conduct in compliance with the Central Bank’s rules. But for outward and inward remittance business, it excludes outward and inward remittance for purposes of unapproved direct investment or securities investment, or other activities not yet approved according to law.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.