MANILA, Philippines - State-run Bank of Taiwan is establishing a representative office in the Philippines amid the country’s robust macroeconomic fundamentals.
Representative offices are liaison offices of foreign banks dealing directly with the public by promoting and giving information about the services offered by the foreign bank.
However, a representative office is not allowed to transact banking business such as acceptance of deposits, issuance of letters of credit and foreign exchange trading.
The entry of Bank of Taiwan in the country still needs the approval of the Bangko Sentral ng Pilipinas (BSP) as well as the Securities and Exchange Commission (SEC).
Bank of Taiwan has 169 domestic branches as well as presence in Shanghai, Hong Kong, Guangzhou, Fuzhou, Tokyo, London, Singapore, South Africa, Los Angeles, and New York.
The bank was established in May 1946 as the first government-owned bank following the island’s restoration to the Republic of China. In 1998, Bank of Taiwan was subsequently taken over by the central government of the Republic of China and was placed under the Ministry of Finance.
In 2008, Bank of Taiwan became part of the Taiwan Financial Holding Group
There are 10 foreign representative offices operating in the Philippines including Ogaki Kyoritsu Bank Ltd., Wells Fargo Bank, Korea Development Bank, Bank of Singapore Ltd., DBS Bank Ltd. Japan Bank for International Cooperation, Rothschild (Singapore) Ltd., The Bank of New York Mellon, Korea Eximbank, and UBS AG.
The BSP has so far approved the entry of nine foreign banks since former president Benigno Aquino III signed Republic Act 10641 or An Act Allowing the Full Entry of Foreign Banks in the Philippines in July 2014, removing the limit of foreign banks in the country.