Taiwan Banks Enter the Mainland Banking Maze

(Beijing) - Filing through the bends and blends of the market, Taiwan banks are on the verge of having an unprecedented presence on the Chinese mainland. On June 24, four Taiwan banks were approved by Taiwan's banking regulator, the Financial Supervisory Commission (FSC), to open branches on the mainland. The recently-concluded fourth round of the cross-straits Economic Cooperation Framework Agreement (ECFA) consultation put the financial industry at the top of the agenda for "early harvest" priorities.
 
The cross-straits Economic Cooperation Framework Agreement (ECFA) is expected to be officially signed at the "Chen-Jiang conference" from June 28 to June 30. The ECFA could make references to Hong Kong's CEPA, and allow Taiwan banks to gain preferential terms compared with foreign banks.