the Taiwan Affairs Office of the State Council, China Development Bank Interim Measures on Loans Granted by the China Development Bank to Taiwan-funded Enterprises the Taiwan Affairs Office of the State Council, China Development Bank December 21, 2005 Chapter I General Provisions Article 1 These Measures are formulated according to the Agreement on Financial Cooperation in Exploration as concluded between the Taiwan Affairs Article 2 Loans granted by the Development Bank to a Taiwan-funded enterprise shall be governed by the laws and regulations as promulgated by Article 3 The application filed by a Taiwan-funded enterprise for the Development Bank’s loan shall comply with the existing state industrial Chapter II Objects, Scope, Variety and Interest Rate of Loans Article 4 Objects of Loans (1) The cooperative enterprises, joint venture enterprises and solely Taiwan-funded enterprises which are registered by Taiwan businessmen (2) The infrastructure construction projects of Taiwan investment zones as approved by the State Council and the cross-straits agricultural Article 5 Scope of Loans (1) Industrial projects concerning energy, communication, electronics, raw materials or agriculture, and the projects of park construction; (2) Industrialization projects of High-tech, especially the projects which involve self-owned intellectual property; (3) Projects of infrastructure construction of export bases that meet the demand of the international market; (4) Projects involved in resource development and comprehensive utilization of renewable resources; (5) Projects propitious to regional economic construction and social development such as the development of the western regions, the revitalization (6) Other projects, to which the TAOSC and the Development Bank believe necessary to grant support. Article 6 Variety and Interest Rate of Loans Loans granted by the Development Bank to Taiwan-funded enterprises are classified into mid/long-term loans and short-term loans and Chapter III Application for Loans Article 7 The relevant application materials as submitted by a Taiwan-funded enterprise for loans shall be reported in triplicate to the Taiwan Article 8 Application Materials (1) Letter of Application for Loans; (2) Feasibility research reports on the relevant loan project (or project proposal); (3) Examination and approval documents (for verification or archival filing) issued by the competent departments on projects, land, environmental (4) The statement on the production and operation as well as the financial statements of the enterprise; and (5) Other relevant materials. Chapter IV Preliminary Appraisal of Loans Article 9 The TAOSC shall conduct preliminary examination on the reported projects, for which loans are applied, and shall recommend to the Article 10 The business development board of the Development Bank shall notify the relevant departments of the headquarters of the Development Chapter V Examination of Loans and Decision-making Article 11 The Development Bank shall adopt the dual appraisal method of “separating credit appraisal from liabilities appraisal and giving priority Article 12 According to the existing measures of the Development Bank for the administration of appraisal, a project, for which a loan of more Chapter VI Conclusion of Credit Contract and Administration of Loans Article 13 Where a loan commitment is made, a credit contract shall be concluded between the local branch of the Development Bank at the place Article 14 After the credit contract is concluded, the relevant Taiwan-funded enterprise shall open a loan account and deposit account in the Article 15 The Development Bank shall, according to the stipulations of the credit contract, grant a loan to the Taiwan-funded enterprise and Article 16 Loans granted by the Development Bank shall be earmarked for every specified purpose only. Where a Taiwan-funded enterprise occupies Article 17 A Taiwan-funded enterprise shall report to the branch of the Development Bank at its locality the project construction and enterprise Article 18 A branch of the Development Bank shall intensify the management of loans and shall, according to the provisions of its headquarters, Article 19 The economic bureau of the TAOSC shall timely report the feedback to the relevant Taiwan Affairs Offices at the provincial level so Article 20 The Taiwan Affairs Offices at the provincial level shall follow up the projects that have been reported to the TAOSC. The Taiwan Office Chapter VII Other Matters Article 21 The TAOSC and the Development Bank shall be responsible for the interpretation and revision of these Measures. Article 22 These Measures shall go into effect as of the day of printing and distribution. |
the Taiwan Affairs Office of the State Council, China Development Bank
2005-12-21