Commercial banks may engage in some or all of the following businesses:
(1) Absorbing public deposits;
(2) Short-term, medium-term and long-term loans;
(3) Handling domestic and international settlement;
(4) Handling bill acceptance and discount;
(5) Issuing financial bonds.
(6) Acting as an agent to issue, honor and underwrite government bonds;
(7) buying and selling government bonds and financial bonds;
(eight) engaged in interbank lending;
(9) Acting as an agent for buying and selling foreign exchange;
(ten) engaged in bank card business;
(eleven) to provide letter of credit services and guarantees;
(12) Agency payment and insurance agency business;
(thirteen) to provide safe deposit box services;
(14) Other businesses approved by the State Council Banking Regulatory Authority.
The business scope shall be stipulated in the articles of association of the commercial bank and reported to the the State Council Banking Regulatory Authority for approval.
With the approval of the People's Bank of China, commercial banks can engage in foreign exchange settlement and sale business.
But obviously, banks also have many restrictions, such as registered capital:
Article 12 To establish a commercial bank, the following conditions shall be met:
(1) Having articles of association that conform to this Law and the Company Law of People's Republic of China (PRC);
(2) It has a registered capital meeting the minimum amount stipulated in this Law;
(3) Having directors and senior managers with professional knowledge and business experience;
(4) Having a sound organizational structure and management system;
(5) Having a business place, safety precautions and other business-related facilities that meet the requirements.
The establishment of commercial banks should also meet other prudential conditions.
Article 13 The minimum registered capital for the establishment of a national commercial bank is 10 billion yuan. The minimum registered capital for establishing city commercial banks is 1 100 million yuan, and the minimum registered capital for establishing rural commercial banks is 50 million yuan. Registered capital shall be paid-in capital.
The banking supervision institution of the State Council may adjust the minimum registered capital according to the needs of prudential supervision, but it shall not be lower than the limit specified in the preceding paragraph.