The Hong Kong Monetary Authority (HKMA) and the China Banking Regulatory Commission (CBRC) have signed a Memorandum of Understanding aimed at strengthening supervision of banks operating on both sides of the border.
HKMA operates in effect as Hong Kong's Central Bank, while the CBRC was formed
last April to to take over banking supervisory responsibility from the People's
Bank of China. The 15-department CBRC says its major responsibilities include
"formulating supervisory rules and regulations for banking institutions,
(and) authorizing the establishment, changes, termination, branching out and
business scope of banking institutions.'' It is also responsible for dealing
with problem deposit-taking institutions.
The MOU calls for the two regulators to share supervisory information for banks
operating in China and Hong Kong and they will work together to ensure that
a parent bank exercises "adequate and effective" control over the
operations of cross-border branches and subsidiaries. They will also meet formally
twice a year.
The HKMA said that the signing of the MOU was part of an ongoing effort to strengthen bilateral co-operation with banking regulators in other jurisdictions, as prescribed by the Bank for International Settlement's Basel Committee.
.
Network Tweets
Network BlogsContent
provided by
|
Archive | Resources | Partners | Site Map | Links | Newsletter Archive | Contact | RSS Feeds | About | Syndication | Advertising & Marketing | Recruitment | Terms & Conditions | Privacy & Cookies
Copyright © 2012 - All Rights Reserved - Tax-News.com
IMPORTANT NOTICE: Tax-News.com has taken reasonable care in sourcing and presenting the information contained on this site, but accepts no responsibility for any financial or other loss or damage that may result from its use. In particular, users of the site are advised to take appropriate professional advice before committing themselves to involvement in offshore jurisdictions, offshore trusts or offshore investments.
Write a comment