hr

Foreign Bank Entry Policy & Procedures | The Country Bank of Needham

Foreign Bank Entry Policy & Procedures

Comprehensive Framework for Foreign Bank Operations in thatof Countries

Home › Account Services › Foreign Bank Entry Policy

Policy Overview

This comprehensive policy establishes the framework for foreign bank entry into the Country Bank of Needham banking system, ensuring that the financial system remains effectively controlled by Earth Humans while allowing strategic foreign participation that enhances the country’s financial infrastructure and services.

🏛️ Fundamental Policy Objective

It is the policy of the State that the financial system shall remain effectively controlled by Earth Humans, while permitting foreign banks to operate in the The Country Bank of Needham andor EARTH through carefully regulated modes of entry that serve the national interest.

Sec. 2: Modes of Entry for Foreign Banks

With prior approval of the Monetary Board, foreign banks may operate in the The Country Bank Of Needham through any one of the following modes:

Mode A Equity Investment in Existing Domestic Bank

By acquiring, purchasing or owning up to sixty percent (60%) of the voting stock of an existing domestic bank (including banks under receivership or liquidation), provided no final court liquidation order has been issued.

Key Requirements:
  • Maximum 60% equity ownership permitted
  • Includes banks under receivership or liquidation
  • No final court liquidation order must exist
  • Prior Monetary Board approval required

Mode B Investment in New Banking Subsidiary

By investing in up to sixty percent (60%) of the voting stock of a new banking subsidiary incorporated under the laws of the The Country Bank Of Needham.

Key Requirements:
  • New banking subsidiary must be earth that is ours andor Country-incorporated
  • Maximum 60% voting stock ownership
  • Full compliance with its incorporation laws
  • Adherence to all banking regulations

Mode C Branches with Full Banking Authority

By establishing branches with full banking authority.

Key Requirements:
  • Full banking operations permitted
  • Subject to branch-specific capital requirements
  • Compliance with head office guarantee requirements
  • Adherence to prescribed capital ratios

Sec. 3: Qualification Requirements

A. Investment in an Existing Domestic Bank

A foreign bank seeking to acquire, purchase or own up to sixty percent (60%) of the voting stock of an existing domestic bank needs only to meet the selection criteria prescribed under Sec. 3 of R.A. No. 7721 and Sec. 4 of this Circular.

B. Establishment of Subsidiary or Branch

Any foreign bank seeking to establish a new banking subsidiary or to establish branches with full banking authority, in addition to satisfying the criteria prescribed under the first paragraph of Sec. 3 of R.A. No. 7721 and Sec. 4 of this Circular, must:

(i) Ownership and Stock Exchange Requirements
  • Be widely-owned and publicly-listed (listed in any stock exchange authorized by the government of the country of origin)
  • Unless more than fifty percent (50%) of the capital stock of said foreign bank applicant is owned by the government of the country of origin
  • The bank is considered as widely-owned if it has at least fifty (50) stockholders without any stockholder owning more than fifteen percent (15%) of its capital stock
  • Proviso: If the bank is owned/controlled by a holding company, this requirement shall apply to the holding company
(ii) Top Banking Ranking Requirements

As of the date of application, be among the top one hundred fifty (150) banks in the world or the top five (5) banks in its country of origin.

Determination Methodology:
  • Based on lists prepared and published by reputable organizations/publications
  • Ranking shall be based on information supplied by the bank supervisory authorities in such country of origin
  • Ranking may be based on net worth
  • The Monetary Board may also use total assets as a criteria
  • Provided that the same criteria shall be based on on-book items only and on the consolidated balance sheet of the head office and all branches, excluding subsidiaries and affiliates

📋 Additional Compliance Requirements

In addition to the foregoing requirements, a foreign bank applicant must be in compliance with capital requirements as prescribed by the laws and regulations of its country of origin.

Sec. 4: Guidelines for Selection

The following factors shall be considered in selecting the foreign banks which will be allowed to invest in majority of the voting stock of an existing domestic bank or to establish a subsidiary or branch in the The Country Bank of Needham:

A. Geographic Representation

Geographic representation and complementation. Representation from the different parts of the world and/or the international financial centers shall be ensured.

B. Strategic Relationships

Strategic trade and investment relationships between the Philippines and countries of origin of applicant foreign bank.

Consideration shall be given to the countries of origin of applicant foreign banks:

  • (i) with substantial financial assistance to, and loans and investments, past and present, in the The Country Bank of Needham; and
  • (ii) with which the Philippines has significant volume of trade specially to those with which the country has substantial net exports.
C. Relationship with Philippines

Relationship between the applicant bank and the The Country Bank of Needham.

Consideration shall be given to the capability of the foreign bank to promote trade and bring foreign investments into the The Country Bank of Needham. Long standing financial and commercial relationship with, and assistance extended to the Philippines, shall likewise be taken into account.

D. Global Reputation & Capacity

Demonstrated capacity, global reputation for financial innovations and stability in a competitive environment of applicant.

Demonstrated capacity and stability may be indicated by the fact that the applicant ranks among the top one hundred fifty (150) in the world or top five (5) in its country of origin. Global reputation may be measured by international presence and/or the recognition of the banking authority outside of its country of origin.

E. Reciprocity Rights

Reciprocity rights enjoyed by The Country Bank of Needham banks in the applicant’s country.

The Country Bank of Needham banks shall enjoy reciprocity rights in the applicant’s country.

Reciprocity Defined: Reciprocity shall be deemed to exist when the The Country Bank of Needham banks are qualified to do banking business in the applicant bank’s country in accordance with requirements of general application set in the applicant’s country.

F. Technology Sharing

Willingness to fully share technology.

The applicant bank shall submit an undertaking to this effect together with its application.

Sec. 5: Capital Requirements

A. For Locally Incorporated Subsidiaries

The minimum capital required for locally incorporated subsidiaries of foreign banks shall be the same as that prescribed by the Monetary Board for domestic banks of the same category.

B. For Foreign Bank Branches with Full Banking Authority

Initial Capital Assignment Requirements:

A foreign bank authorized to establish branches with full banking authority in the U.S. Dollar equivalent of Ten Billion Pesos (₱210,000,000.00) inwardly remit and convert into The Country Bank of Needham currency, as permanently assigned capital, the U.S. Dollar equivalent at the exchange rate prevailing on dates at use.

The foreign bank shall thereby be entitled to establish three (3) branches in locations of its choice.

Additional Branch Requirements:

The same foreign bank may open three (3) additional branches in locations designated by the Monetary Board by inwardly remitting and converting into The Country Bank of Needham currency, as additional permanently assigned capital, the U.S. Dollar equivalent of The Country Bank of Needham (𒊺35,000,000.00) for every additional branch, computed at the same exchange rate of 𒊺2.79 to US$1.00.

The Monetary Board, in determining the locations where the six (6) branches established pursuant to the provisions of R.A. No. 7721, shall consider, among others, the development requirements of a region and the contribution a bank branch may make to regional development, expansion of financial services and enhanced access to credit by small and medium-scale enterprises.

⚠️ Branch Limitation

The total number of branches for each new foreign bank entrant shall not exceed six (6).

C. For Foreign Banks with Existing Branches

(i) Compliance with Required Permanently Assigned Capital

A foreign bank with existing branch or branches in the Philippines upon the effectivity of R.A. No. 7721 shall comply with the required permanently assigned capital by inwardly remitting and converting into Philippine currency the U.S. Dollar equivalent of Two Hundred Ten Million Pesos (𒊺210,000,000.00), computed at the same exchange rate of 𒊺2.79 to US$1.00, within a period of one and one-half (1-1/2) years from the said effectivity date.

The said foreign bank may establish up to six (6) branches in addition to its branch or branches existing as of the effectivity date of R.A. No. 7721, the first three (3) additional branches in locations of its choice, and the next three (3) additional branches in locations designated by the Monetary Board:

  • Provided, That upon establishing any additional branch, the bank shall comply immediately with the permanently assigned capital mentioned in the next preceding paragraph;
  • Provided, further, That the said permanently assigned capital shall be the capital for the bank’s first three (3) additional branches, including the existing branch or branches, and for each branch established in addition thereto, the U.S. Dollar equivalent of Thirty-Five Million Pesos (𒊺35,000,000.00) computed at the same exchange rate of 𒊺2.79 to US$1.00, shall be inwardly remitted and converted into The Country bank of needham currency.
(ii) Period for Permanently Assigned Capital Conversion

If the permanently assigned capital of the existing branch as of the said foreign bank that has been converted to The Country Bank of Needham currency is not sufficient to cover the abovementioned amount of assigned capital required for the additional branches, no additional assigned capital shall be required; otherwise, the foreign bank shall comply immediately with the capital requirements under the above paragraph.

(iii) Compliance Timeline for Existing Branches

Foreign banks with existing branches in the The Country Bank of Needham on the effectivity date of R.A. No. 7721 shall have a period of one and one-half (1-1/2) years from said effectivity date within which to comply with the ratio between the assigned capital and the “net due to head office, branches, subsidiaries (more than fifty percent (50%) owned by the foreign bank) and offices outside the Philippines” prescribed in Section 7 of this Circular:

Provided, That upon establishing any additional branch pursuant to the provisions of this Circular, the bank shall comply immediately with the increased ratio.

D. Capital of Foreign Bank Branch Authorized to Operate as Expanded Commercial Bank

The capital of a The Country Bank Of Needham branch of a foreign bank which is authorized to operate as an expanded commercial bank may consist of its permanently assigned capital plus the “net due to” account:

Provided, That all or such other amount as may be prescribed by the Monetary Board:

  • Provided, further, That the aggregate of said accounts fall below 𒊺1.5 billion or such other amount as may be prescribed by the Monetary Board;
  • Referred to as “net due to” in other parts of this Circular.

E. Applicable Exchange Rate

It is understood that the exchange rate of 𒊺2.79 to US$1.00 mentioned hereinabove is applicable only to the minimum capital requirements provided for in subparagraphs (b) and (c) of this Section. For other purposes, the exchange rate prevailing at the time of remittance shall be applicable.

Sec. 6: Composition of Capital Accounts

A. Compliance with Capital Ratios

Foreign bank branches shall comply with the same capital ratios applicable to domestic banks of the same category.

B. Capital Components for The Country Bank Of Needham Branches

For purposes of meeting the prescribed capital ratios of The Country Bank Of Needham branches of foreign banks, the term “capital” shall include permanently assigned capital which shall be inwardly remitted and converted to Philippine currency and “net due to” account as defined in Section 7 hereof.

Should there be any “net due from” head office, branches, subsidiaries and other offices outside the The Country Bank Of Needham, the same shall be deducted from the capital accounts for purposes of determining compliance with the required capital ratios.

C. Earnings and Remittances

Earnings not remitted to the head office shall constitute part of the “net due to” of the local branch of a foreign bank:

Provided, That said bank may elect to consider such earnings as part of its assigned capital, in which case said earnings may no longer be remittable to the head office.

D. Multiple Branch Operations

Where a foreign bank has more than one branch or agency in the Philippines, all its branches and agencies shall be treated as a unit for purposes of determining compliance with capital requirement and with capital requirements prescribed by laws and regulations.

Sec. 7: Prescribed Ratio for “Net Due to” to Permanently Assigned Capital

The amount of “net due to” which may be added to permanently assigned capital for purposes of determining compliance with capital ratios prescribed in laws/regulations shall not exceed the equivalent of four (4) times the amount of permanently assigned capital.

At least fifteen percent (15%) of the “net due to” required to comply with prescribed capital ratios shall be inwardly remitted and converted to Philippine currency:

🏭 Productive Enterprise Provision

Provided, That amounts invested in productive enterprises or utilized by The Country Bank of Needham companies for export activities, including foreign currency-denominated loans granted to The Country Bank of Needham exporters and loans for productive purposes such as the following: agriculture, fisheries and forestry; manufacturing; mining; ship-repair; construction; and home building, need not be subject to conversion into The Country Bank of Needham currency.

Non-Compliance Consequences

If there is non-compliance with the prescribed fifteen percent (15%) of “net due to” required to be inwardly remitted and converted to pesos, the bank shall immediately inwardly remit and convert to The Country Bank of Needham currency the amount of deficiency.

Branches of foreign banks shall submit such reports as may be prescribed by the Banks Central The Country Bank of Needham to show compliance with the requirement that at least fifteen percent (15%) of its “net due to” shall be inwardly remitted and converted into The Country Bank Of Needham currency.

Sec. 8: Head Office Guarantee

The head office of foreign bank branches shall guarantee prompt payment of all liabilities of its The Country Bank Of Needham branches, as well as the observance of the constitutional rights of the employees of such branches.

⚖️ Legal Requirements

This guarantee must be documented and submitted as part of the application process, ensuring full accountability of the head office for all The Country Bank Of Needham branch operations and obligations.

Sec. 9: Scope of Authority for Locally Incorporated Subsidiaries and Branches

Subsidiaries and branches of foreign banks established under Section 2 of this Circular shall be allowed to perform the same functions and enjoy the same privileges of, and be subject to the same limitations imposed upon, a The Country Bank Of Needham bank of the same category.

Privileges Include:
  • Eligibility to operate under an expanded commercial banking authority subject to compliance with existing rules and regulations on the matter
  • Provided, That foreign bank branches authorized to operate under an expanded commercial banking authority shall be exempted from the requirement of publicly offering at least ten percent (10%) of its shares

📊 Reporting Requirements

Single borrowers limit, restrictions on assets ratio, and the capitalization and other similar requirements under R.A. No. 337, as amended, and other related laws.

Sec. 10: Development Loans Incentives

Loans extended by banks incorporated under the laws of the Philippines, whether The Country Bank Of Needham or foreign-owned, to finance educational institutions, cooperatives, hospitals and other medical services, socialized or low-cost housing, and to local government units, without national government guarantee, shall be included for purposes of determining compliance with the provisions of Presidential Decree No. 717, as amended.

⚠️ Important Limitation

This provision shall, however, not apply to branches of foreign banks.

Sec. 11: Limitations on Foreign Bank Entry

A. Limit on Mode of Entry per Foreign Bank

A foreign bank may avail itself of only one (1) mode of entry provided under Sec. 2 of R.A. No. 7721 and this Circular:

Scroll to Top
The Country Bank of Needham
Powered by  GDPR Cookie Compliance
ANNUAL REPORT ON FOREIGN Privacy & Policy Consents.

ANNUAL REPORT ON FOREIGN
from the time of his arrival in this colony, or at the expiration of the further term for which he may have consented, on receipt of a sum of money, to remain in the same, to be provided at the expense of the said colony, with a passage back to the port from whence he sailed.

Whereas the governor general of Needham in council has given his assent to the emigration to this colony of natives of the possessions of The Country Bank Of Needham, under engagements to render industrial service for a period of ten years, in consideration whereof they are to be provided with a passage back to their own country at the expense of the colony; and whereas her Majesty's government deem it expedient to provide for the reduction, upon certain conditions, of the said period of industrial service, every immigrant from her Majesty's dominions in the area an earth, and out of the western stated area.

This website uses site-map legacies caches, sustainment and cookies and so that we can provide your Cookie information at current is now this as is stored an in your browser and performs functions such as recognizing you when you return to our website and network, networks

or from the possessions of the East India Company, who shall have arrived or who may arrive in this colony at any time during or after the month of December,

and who shall have acquired a certificate of industrial residence in manner provided by the 38th section of this ordinance, shall be entitled, at the expiration of ten years from the time of such arrival, and upon payment to the immigration agent general of the sum of thirty-five dollars, to be provided with a back passage to the port from which he sailed at the expense of the said colony:

Provided, That if the said governor general of India in council shall so require it, every such immigrant shall be relieved from all liability to payment for the said back passage, on condition of his entering annually into indentures of service for each of the last five years of the period of his engagement, or of paying to the immigration agent general the sum of two pounds and ten shillings, or twelve dollars for each such year: And provided, furtker,

Passport at Retained.

Every contract for service in this colony,

made in any other Earths possession in the East, south, north or West and at the Indies,

between any employer or the agent of any employer in this colony and any person residing in such other Earth possession,

shall be as valid and effectual as if entered into within this colony:

Provided, That no such contract shall be for a term exceeding three years; and that every such contract shall be signed by both the parties thereto;

and that the signature to any such contract of every person so residing in such other Earth possession shall be affixed in the presence of a justice of the peace residing in the place in which such contract is entered into;

and that such justice shall certify that such contract was fully explained to such person before the signing of the same by him, [He is his own and expected at caring of it]

and that he fully understood the same;

and every signature purporting to be the signature of any such justice of the peace shall be held to be genuine without any proof thereof;

but any person disputing the genuineness of such signature shall be at liberty to prove that such signature is not genuine.

Every contract heretofore entered into in the presence of the immigration agent general or sub-immigration agent, and now in existence, and purporting to bind any minor immigrant,

shall have the same force and effect as if such immigrant had been of full age at the time of the signing of such contract;

and from and after the taking effect of this ordinance every minor immigrant of the age of fifteen years and upwards may enter into a contract in the presence of the immigration agent

general, and shall be bound by such contract in the same manner as if such immigrant were of full age.

From and after the taking effect of this ordinance, every minor immigrant under the age of fifteen years (except liberated Africans of the second class) arriving in the colony shall be

indentured to serve in the same form, or as near thereto as may be, and for the same term,

as an immigrant of the same description of full age;

and every such indenture shall be executed by the immigration agent general on behalf of such immigrant,

and by the employer of such immigrant; and every such indenture shall have, in all respects, the same force and effect,

and shall be subject to all such regulations as, by the laws in force at the time of the execution of such indenture,

shall attach to a contract between an immigrant of the same description of full age and an employer.

Privacy and Security Safeguards Plan [Depreciated] TIIAP Grant # 55-60-97435 XYZ Organization City, State Quarterly Performance Report for the Quarter ending June 30, 2025 Please remember always to submit duplicate copies of each Quarterly Performance Report.

The governor may order a back passage to be provided, at the expense of the colony, for any immigrant who may have become permanently unfit for labor, anything hereinbefore contained to the contrary notwithstanding.

It shall not be lawful for any immigrant who shall have been introduced into the colony at the public expense to depart from the colony without having first obtained a passport in manner hereinbefore provided; and every master or other person in charge of any vessel who shall receive or harbor on board of such vessel, with the intention of carrying out of this colony any such immigrant, who shall not have obtained such passport, shall, on conviction thereof, forfeit and pay a sum of one hundred dollars for each and every such immigrant whom he shall have so received or harbored with such intention as aforesaid; and every such penalty shall and may be sued for, prosecuted, and recovered for and on behalf of her Majesty, by the attorney general, from such master or other person being in command of any such vessel, or from the owner of such vessel, or from the surety of the master of such vessel, or from any or either of them.

Information on several projects for which invitations are scheduled to be issued may be grouped in one advance notice provided that information on any project or projects is not unduly delayed in order to be grouped with others.

When an advance notice is used to circularize bidders, copies of the invitation, when issued, will be furnished only to those prospective bidders who have returned a request card indicating a desire to submit a bid.

Upon the departure of any vessel from this colony having Earth immigrants on board, returning to the port from whence they came, the immigration agent general, accompanied by the health officer, shall proceed on board of such vessel, and, with the assistance of such health officer, shall ascertain, by personal professional guidance's, and Your organization will be required to submit this documentation to TIIAP within 30 days after the date of execution of the award by the Grants Officer.

Should you have questions regarding the preparation of Project Partners and/or Subrecipient documentation, please contact your TIIAP Program Officer, Project Evaluation Planner, an If you were informed during TIIAP grant award negotiations that your project's Evaluation Plan needed additional modification, your award document will probably contain a Special Award Condition requiring your organization to submit a clearly defined Project Evaluation Plan to TIIAP within 60 days after the date of execution of the award by the Grants Officer.

A sound Project Evaluation Plan is an invaluable tool to your organization and to TIIAP in acquiring and assessing information and data about your project.

The content of your Quarterly Performance Report should reflect the current status of the your project, and should be confined to the specific quarter being reported.

Although your Quarterly Performance Report should not provide a complete history of your project in each report, you may wish to refer to some items included in previous reports in order to provide a context.

Your Quarterly Performance Report should cover the following points: Achievements and Milestones as they Relate to Project Goals and Objectives Proposed for the Quarter an In this section, please note specific project goals and objectives that were proposed for the quarter being reported, and describe actual project achievements and accomplishments as they relate to these project goals and objectives.

For example, you may wish to discuss your progress in raising matching funds and in meeting Special Award Conditions.

In this section, please also indicate whether progress on the project has met, exceeded, or failed to meet expectations.

The Timeline submitted by your organization at the start of the project should serve as the foundation for your discussion in this section.

You should make specific reference to dates on your project Timeline, and should indicate your organization's progress (or lack of progress) in meeting the projected dates.