These Regulations are prescribed pursuant to Paragraphs 1 and 3, Article 18 of the Act Governing Issuance of Electronic Stored Value Cards, Article 19 of the Act Governing Electronic Payment Institutions, and Article 40 of the latter act to which Article 19 applies mutatis mutandis.
The term "non-bank payment institutions" as used in these Regulations refers to non-bank issuers as defined in the Act Governing Issuance of Electronic Stored Value Cards and specialized electronic payment institutions as defined in the Act Governing Electronic Payment Institutions.
When the amount of the following stored value funds received by a non-bank payment institution exceeds an equivalent of NT$5 billion, the institution shall be subject to required reserves based on the portion exceeding NT$5 billion:
1. Funds stored by electronic stored value card holders into their cards in advance, excluding deposits received by the issuers from card holders; and
2. Funds deposited by users into their e-payment accounts in advance for transferring to other users other than the electronic payment institution.
The amount of required reserves in accordance with the preceding paragraph shall be calculated separately by each type of business.
The reserve ratios for the stored value funds referred to in the preceding article shall be the same as the required reserve ratios for banks as announced by the Central Bank of the Republic of China (Taiwan) (hereafter referred to as "the Bank"); for NTD funds, the required reserve ratio shall be the same as that for demand deposits; for foreign currency funds, the required reserve ratio shall be the same as that for foreign-currency deposits.
The required reserves on stored value funds shall be calculated by first converting the amount of funds into an equivalent of NTD, multiplying the portion where the daily average of each month exceeds NT$5 billion by the daily weighted average ratio of NTD and foreign currency stored value funds, and by the reserve ratios prescribed in the preceding article for NTD and foreign currency. The total calculated reserve requirements shall be deposited in NTD.
Foreign currency stored value funds shall be converted into an equivalent of NTD based on the closing spot rates for respective currencies offered by the Bank of Taiwan Co., Ltd. (hereafter referred to as "Bank of Taiwan") on the last business day in the reserve calculation period of the preceding month.
The Bank entrusts the Bank of Taiwan to handle the receipt, adjustment, audit and other matters relating to required reserves on stored value funds.
Institutions required to deposit reserves in accordance with Article 3 should open an “ Interbank deposits – reserves account A ” and an “ Interbank deposits – reserves account B ” at the Bank of Taiwan, and adjust the balance of reserves in account B within five business days after the end of each reserve maintenance period by submitting the reserve adjustment statements.
Unless otherwise provided by these Regulations, the provisions in the Paragraphs 1 and 3 of Article 6, Item 2 of Paragraph 1 and Paragraph 2 of Article 7, Articles 9 through 13, Paragraph 1 of Article 14 regarding the carry-over of excess reserves, Paragraph 2 of Article 14, Article 15 and Paragraph 2 of Article 16 of “ Regulations Governing the Audit and Adjustment of Deposit and Other Liability Reserves of Financial Institutions ” shall apply mutatis mutandis to the receipt, adjustment, audit and other matters relating to required reserves on stored value funds.
These Regulations shall become effective from the date of promulgation.
The amended articles of these Regulations shall become effective on May 3, 2015.