Laws and Regulations Database of the Central Bank of the Republic of China(Taiwan)

(Purpose of Promulgation) 
1.These Directions are promulgated in compliance with Article 29 of the Regulations 
Governing the Trial Operation of Transportation Links Between Kinmen/Matsu and the 
Mainland Area.

(Conditions for approval)
2.Financial Institutions located in Kinmen and Matsu approved by the Central Bank 
of the Republic of China (Taiwan)("CBC") to conduct the purchase or sale of foreign 
currency banknotes and traveler's checks may apply for CBC's approval to engage in 
the operation of the purchase or sale of Renminbi bills pursuant to the Directions.
To apply, the head office of the financial institution as specified in the previous 
subparagraph shall submit a business plan describing the qualifications and 
experiences of its clerks dealing with or checking the Renminbi transactions as 
well as supporting documents regarding (1) the arrangement of Renminbi bills 
coverage (2) the ability to identify genuine/counterfeit Renminbi bills and (3) the 
ability to manage the risk.
Financial Institutions located in Kinmen and Matsu approved to conduct the purchase 
or sale of Renminbi bills pursuant to Paragraph 1 have the following options:
(1) apply for approval from the CBC to establish business premises for the  
exchange of Renminbi in local airports & ports.
(2) submit the contract of delegation to the CBC for approval to delegate other 
related businesses or institutions to conduct the business of exchanging Renminbi to NT dollars.
The CBC shall consult with the Financial Supervisory Commission, Executive Yuan 
(“FSC”) for the approval of Items (1) and (2) of the preceding paragraph.
When conducting Renminbi exchange business at locations other than the designated 
business premises, or delegating other related businesses or institutions to handle
 Renminbi exchange business, a financial institution shall comply with its internal 
control and security system.

（Qualifications of customers）
3.Customers purchasing or selling Renminbi bills shall be limited to Taiwan Area 
and Mainland China Area residents traveling between Mainland China and   Kinmen or 
Matsu as referred to in Articles 10, 10-1, 12 and 15 of the  Regulations Governing 
the Trial Operation of Transportation Links Between Kinmen/Matsu and the Mainland 
Area.

 (Documents for transactions and delegation)
4.When conducting the purchase or sale of Renminbi bills, a financial institution 
shall verify the Taiwan Entry and Exit Permits or entry/exit stamps on the passport 
of the buyer/seller.
The buyer/seller may authorize a travel agent or tour guide to conduct the purchase 
or sale of Renminbi bills.  A financial institution may conduct such purchase or 
sale only after it has verified the following matters. If the total value of 
transactions is NT$500,000, or above, the authorized person shall, in compliance 
with the “Regulations Governing the Declaration of Foreign Exchange Receipts and 
Disbursements or Transactions〞, fill out the〝Declaration Statement of Foreign 
Exchange Receipts and Disbursements or Transactions”, and indicate the nature of 
his/her agency status.
(1) Transaction list: including name, I.D. number or Taiwan Entry and Exit Permit 
number, transaction amount and date.
(2) The Taiwan Entry and Exit Permit or the entry/exit stamps on the Passport of the buyer/seller.
(3) Power of attorney issued by the buyer/seller to authorize the travel agent or 
tour guide to handle such purchase or sale of Renminbi bills.
(4) A statement issued by the buyer/seller to waive his/her right to request a 
Foreign Exchange Purchase/Sale Memo.
The aforesaid transaction made by an authorized person for a buyer/seller will not 
be counted toward the accumulated settlement amount of such authorized person.

（Limit on transaction size）
5.The amount of Renminbi bills purchased or sold for each arrival or departure by a 
customer shall not exceed the  ceiling of carrying Renminbi cash in or out of the 
Taiwan Area imposed by the competent authority.

（Setting exchange rate）
6.The exchange rate of Renminbi against NT dollars for the purchase or sale of 
Renminbi bills shall be determined by each financial institution, and shall be 
posted at its business premises.

（Counterparties of Renminbi coverage）
7.Counterparties of Renminbi coverage shall be decided by each financial 
institution engaging in the purchase or sale of Renminbi bills.

(Business Scope)
8.A financial institution shall only conduct the purchase and sale of Renminbi 
bills and NTD bills.

(Filing and Safekeeping of Transaction Documents)
9.Financial institutions engaging in the purchase or sale of Renminbi bills shall 
keep account books, accounting statements and exchange memos, record detailed 
information of transactions, and file and keep the following documents in the 
database for future examination:
（1）case number;
（2）name of client;
（3）I.D. number or Taiwan Entry and Exit Permit number of client; and
（4）date and amount of purchase or sale.
The above mentioned account books and accounting statements shall be kept for at 
least ten (10) years pursuant to relevant provisions of the Business Entity 
Accounting Act and Model Accounting System for Banks; relevant Foreign Exchange 
Purchase/Sale Memos shall be kept for at least five (5) years.

(Daily Report of Purchase or Sale Business of Renm)
10.The head office of a financial institution engaging in the purchase or sale of 
Renminbi bills shall, pursuant to the following, complete and submit a Renminbi 
transaction report in the same format as the attached form to the CBC by electronic 
means:
(1) Transactions processed on a banking business day shall be reported on the same 
day; transactions processed after business hours shall be counted as transactions 
of the following day and be reported on the following banking business day.
(2) Transactions processed during weekends and/or on statutory holidays shall be 
reported on the following banking business day.

(Daily Transaction Report and Daily Foreign Exchan)
11. All transactions of purchase or sale of Renminbi bills processed after business 
hours shall be included in the “Daily Transaction Report” and “Daily Foreign 
Exchange Position Report” of the following banking business day.