Mega International Commercial Bank
Encyclopedia
The Mega International Commercial Bank is a subsidiary of Mega Financial Holding Company. It is one of the leading bank
s in Taiwan
. It has 105 branches in Taiwan
along with 17 branches, 2 representative offices and 2 wholly owned subsidiaries abroad. The bank's total workforce is over 5,100 and its aggregate paid-in capital is approximately NT$64.1 billion.
The International Commercial Bank of China (中國國際商業銀行) was the name by which the Bank of China
came to be known after its privatization in Taiwan
in 1971. The Bank of China
's reserves had been transferred from mainland China
to Taiwan prior to the Chinese Communist Party's takeover of the mainland in 1949. Like most banks, the Bank of China
was not immediately allowed to resume operations in Taiwan.
The Bank of China
was first established in 1904 as the Hu-pu (Financial Department) Bank of the Ch'ing Dynasty. It came to be known as the Ta Ch'ing Bank before being renamed Bank of China
after the establishment of the Republic of China
in 1912. The bank's headquarters were at 3 Hank'ou Road in the International Settlement of Shanghai
. The bank, which was authorized to issue banknotes, broke free from the Yuan Shih-k'ai government's control in 1916 under the leadership of Chang Kia-ngau
, and became a private, merchant-owned bank in 1923 when the cash-strapped Peking government sold all but a symbolic number of its shares to private investors. During the 1920s and 1930s, the Bank of China
was by far the largest in China
. In 1928, the Bank of China
funded the government's creation of the Central Bank of China
, and in exchange was allowed to remain independent. It was also chartered to serve as the nation's international exchange bank and was entrusted with efforts toward the promotion of foreign trade, the supply of foreign exchange, and the general financing of home industries.
The Chiao Tung Bank (交通銀行) was a direct successor of the Chiao Tung Bank / Bank of Communications
established in 1908 during the final years of the Ch'ing Dynasty. After the establishment of the Republic of China
in 1912, the Chiao Tung Bank was authorized to issue banknotes backed by silver reserves. Government ownership of the bank was reduced to a minority during the instability of the Yuan Shih-k'ai regime and the Northern Warlords era. The bank financed the creation of the Central Bank of China
in 1928 and was considered one of the Republic of China
's top four banks.
The Bank of China
and the Chiao Tung Bank both became government-owned quite suddenly during the Shanghai
financial crisis of 1935. Finance Minister H.H. Kung, who had worked to erode the independence of Shanghai
's powerful bankers, forced both banks to create new shares which gave the government majority ownership. These new shares were purchased through overvalued government bonds meant to finance the government's deficit and increase the Central Bank of China
's capital.
After the 1949 establishment of the People's Republic of China
on the mainland, both banks' operations were split, though their management and most liquid assets were transferred to Taiwan
. They were not immediately permitted to resume operations in Taiwan given the uncertain situation in the early 1950s. Both banks' assets on the mainland were seized by the Communist Party of China
, which severely limited banking until the 1980s. The Bank of China
's branches in Tokyo, Bangkok and the Americas remained under the Taipei
-based ICBC, while other branches in Asia, including Hong Kong
, came under the PRC-controlled Bank of China
. It was not until 1987 that the Bank of Communications
was permitted to resume operations in the PRC.
During the mid to late 1990s, many state-owned financial institutions in Taiwan
were restructured and merged for greater efficiency. The Chiao Tung Bank was privatized in 1999, then underwent a series of consolidations. In 2002, it was merged with The International Commercial Bank of China under a single financial holding, which in 2006 came to be consolidated into a single bank—the Mega International Commercial Bank. It was argued at the time that the bank's former initials, ICBC, could lend it to be confused with the Industrial and Commercial Bank of China
. However, the re-branding was controversial in Taiwan
as many saw the change as a costly exercise meant to remove any reference to China
from its name.
In March and April 2008, Mega International Commercial Bank featured prominently in the news in Taiwan
because the wife of president-elect Ma Ying-jeou
, Christine Chow
, had declared her intention to continue working as the bank's legal counsel. In May 2008, she was permitted to retire from the bank.
Bank
A bank is a financial institution that serves as a financial intermediary. The term "bank" may refer to one of several related types of entities:...
s in Taiwan
Taiwan
Taiwan , also known, especially in the past, as Formosa , is the largest island of the same-named island group of East Asia in the western Pacific Ocean and located off the southeastern coast of mainland China. The island forms over 99% of the current territory of the Republic of China following...
. It has 105 branches in Taiwan
Taiwan
Taiwan , also known, especially in the past, as Formosa , is the largest island of the same-named island group of East Asia in the western Pacific Ocean and located off the southeastern coast of mainland China. The island forms over 99% of the current territory of the Republic of China following...
along with 17 branches, 2 representative offices and 2 wholly owned subsidiaries abroad. The bank's total workforce is over 5,100 and its aggregate paid-in capital is approximately NT$64.1 billion.
History
Mega International Commercial Bank Co., Ltd. came into being on December 31, 2002 as a result of the merger of the historic International Commercial Bank of China (中國國際商業銀行) and Chiao T’ung Bank (交通銀行).The International Commercial Bank of China (中國國際商業銀行) was the name by which the Bank of China
Bank of China
Bank of China Limited is one of the big four state-owned commercial banks of the People's Republic of China. It was founded in 1912 by the Government of the Republic of China, to replace the Government Bank of Imperial China. It is the oldest bank in China...
came to be known after its privatization in Taiwan
Taiwan
Taiwan , also known, especially in the past, as Formosa , is the largest island of the same-named island group of East Asia in the western Pacific Ocean and located off the southeastern coast of mainland China. The island forms over 99% of the current territory of the Republic of China following...
in 1971. The Bank of China
Bank of China
Bank of China Limited is one of the big four state-owned commercial banks of the People's Republic of China. It was founded in 1912 by the Government of the Republic of China, to replace the Government Bank of Imperial China. It is the oldest bank in China...
's reserves had been transferred from mainland China
China
Chinese civilization may refer to:* China for more general discussion of the country.* Chinese culture* Greater China, the transnational community of ethnic Chinese.* History of China* Sinosphere, the area historically affected by Chinese culture...
to Taiwan prior to the Chinese Communist Party's takeover of the mainland in 1949. Like most banks, the Bank of China
Bank of China
Bank of China Limited is one of the big four state-owned commercial banks of the People's Republic of China. It was founded in 1912 by the Government of the Republic of China, to replace the Government Bank of Imperial China. It is the oldest bank in China...
was not immediately allowed to resume operations in Taiwan.
The Bank of China
Bank of China
Bank of China Limited is one of the big four state-owned commercial banks of the People's Republic of China. It was founded in 1912 by the Government of the Republic of China, to replace the Government Bank of Imperial China. It is the oldest bank in China...
was first established in 1904 as the Hu-pu (Financial Department) Bank of the Ch'ing Dynasty. It came to be known as the Ta Ch'ing Bank before being renamed Bank of China
Bank of China
Bank of China Limited is one of the big four state-owned commercial banks of the People's Republic of China. It was founded in 1912 by the Government of the Republic of China, to replace the Government Bank of Imperial China. It is the oldest bank in China...
after the establishment of the Republic of China
Republic of China
The Republic of China , commonly known as Taiwan , is a unitary sovereign state located in East Asia. Originally based in mainland China, the Republic of China currently governs the island of Taiwan , which forms over 99% of its current territory, as well as Penghu, Kinmen, Matsu and other minor...
in 1912. The bank's headquarters were at 3 Hank'ou Road in the International Settlement of Shanghai
Shanghai
Shanghai is the largest city by population in China and the largest city proper in the world. It is one of the four province-level municipalities in the People's Republic of China, with a total population of over 23 million as of 2010...
. The bank, which was authorized to issue banknotes, broke free from the Yuan Shih-k'ai government's control in 1916 under the leadership of Chang Kia-ngau
Zhang Jiaao
Chang Kia-ngau . Known almost exclusively as Chang Kia-ngau in the West, Zhang was born in 1889 in Baoshan District, near Shanghai. His grandfather was a Ch'ing dynasty official and his father a doctor, so he and his siblings enjoyed educational opportunities not available to most of their...
, and became a private, merchant-owned bank in 1923 when the cash-strapped Peking government sold all but a symbolic number of its shares to private investors. During the 1920s and 1930s, the Bank of China
Bank of China
Bank of China Limited is one of the big four state-owned commercial banks of the People's Republic of China. It was founded in 1912 by the Government of the Republic of China, to replace the Government Bank of Imperial China. It is the oldest bank in China...
was by far the largest in China
China
Chinese civilization may refer to:* China for more general discussion of the country.* Chinese culture* Greater China, the transnational community of ethnic Chinese.* History of China* Sinosphere, the area historically affected by Chinese culture...
. In 1928, the Bank of China
Bank of China
Bank of China Limited is one of the big four state-owned commercial banks of the People's Republic of China. It was founded in 1912 by the Government of the Republic of China, to replace the Government Bank of Imperial China. It is the oldest bank in China...
funded the government's creation of the Central Bank of China
Central Bank of China
The Central Bank of the Republic of China , known in English from 1924 to 2007 as the Central Bank of China, is the central bank of the Republic of China . Its legal and common name in Chinese is literally translated as the "Central Bank"...
, and in exchange was allowed to remain independent. It was also chartered to serve as the nation's international exchange bank and was entrusted with efforts toward the promotion of foreign trade, the supply of foreign exchange, and the general financing of home industries.
The Chiao Tung Bank (交通銀行) was a direct successor of the Chiao Tung Bank / Bank of Communications
Bank of Communications
Bank of Communications Limited , founded in 1908, is one of the largest banks in China.-Before 1949:The Bank of Communications was founded in 1908 and emerged as one of the first few major national and note-issuing banks in the early days of the Republic of China...
established in 1908 during the final years of the Ch'ing Dynasty. After the establishment of the Republic of China
Republic of China
The Republic of China , commonly known as Taiwan , is a unitary sovereign state located in East Asia. Originally based in mainland China, the Republic of China currently governs the island of Taiwan , which forms over 99% of its current territory, as well as Penghu, Kinmen, Matsu and other minor...
in 1912, the Chiao Tung Bank was authorized to issue banknotes backed by silver reserves. Government ownership of the bank was reduced to a minority during the instability of the Yuan Shih-k'ai regime and the Northern Warlords era. The bank financed the creation of the Central Bank of China
Central Bank of China
The Central Bank of the Republic of China , known in English from 1924 to 2007 as the Central Bank of China, is the central bank of the Republic of China . Its legal and common name in Chinese is literally translated as the "Central Bank"...
in 1928 and was considered one of the Republic of China
Republic of China
The Republic of China , commonly known as Taiwan , is a unitary sovereign state located in East Asia. Originally based in mainland China, the Republic of China currently governs the island of Taiwan , which forms over 99% of its current territory, as well as Penghu, Kinmen, Matsu and other minor...
's top four banks.
The Bank of China
Bank of China
Bank of China Limited is one of the big four state-owned commercial banks of the People's Republic of China. It was founded in 1912 by the Government of the Republic of China, to replace the Government Bank of Imperial China. It is the oldest bank in China...
and the Chiao Tung Bank both became government-owned quite suddenly during the Shanghai
Shanghai
Shanghai is the largest city by population in China and the largest city proper in the world. It is one of the four province-level municipalities in the People's Republic of China, with a total population of over 23 million as of 2010...
financial crisis of 1935. Finance Minister H.H. Kung, who had worked to erode the independence of Shanghai
Shanghai
Shanghai is the largest city by population in China and the largest city proper in the world. It is one of the four province-level municipalities in the People's Republic of China, with a total population of over 23 million as of 2010...
's powerful bankers, forced both banks to create new shares which gave the government majority ownership. These new shares were purchased through overvalued government bonds meant to finance the government's deficit and increase the Central Bank of China
Central Bank of China
The Central Bank of the Republic of China , known in English from 1924 to 2007 as the Central Bank of China, is the central bank of the Republic of China . Its legal and common name in Chinese is literally translated as the "Central Bank"...
's capital.
After the 1949 establishment of the People's Republic of China
People's Republic of China
China , officially the People's Republic of China , is the most populous country in the world, with over 1.3 billion citizens. Located in East Asia, the country covers approximately 9.6 million square kilometres...
on the mainland, both banks' operations were split, though their management and most liquid assets were transferred to Taiwan
Taiwan
Taiwan , also known, especially in the past, as Formosa , is the largest island of the same-named island group of East Asia in the western Pacific Ocean and located off the southeastern coast of mainland China. The island forms over 99% of the current territory of the Republic of China following...
. They were not immediately permitted to resume operations in Taiwan given the uncertain situation in the early 1950s. Both banks' assets on the mainland were seized by the Communist Party of China
Communist Party of China
The Communist Party of China , also known as the Chinese Communist Party , is the founding and ruling political party of the People's Republic of China...
, which severely limited banking until the 1980s. The Bank of China
Bank of China
Bank of China Limited is one of the big four state-owned commercial banks of the People's Republic of China. It was founded in 1912 by the Government of the Republic of China, to replace the Government Bank of Imperial China. It is the oldest bank in China...
's branches in Tokyo, Bangkok and the Americas remained under the Taipei
Taipei
Taipei City is the capital of the Republic of China and the central city of the largest metropolitan area of Taiwan. Situated at the northern tip of the island, Taipei is located on the Tamsui River, and is about 25 km southwest of Keelung, its port on the Pacific Ocean...
-based ICBC, while other branches in Asia, including Hong Kong
Hong Kong
Hong Kong is one of two Special Administrative Regions of the People's Republic of China , the other being Macau. A city-state situated on China's south coast and enclosed by the Pearl River Delta and South China Sea, it is renowned for its expansive skyline and deep natural harbour...
, came under the PRC-controlled Bank of China
Bank of China
Bank of China Limited is one of the big four state-owned commercial banks of the People's Republic of China. It was founded in 1912 by the Government of the Republic of China, to replace the Government Bank of Imperial China. It is the oldest bank in China...
. It was not until 1987 that the Bank of Communications
Bank of Communications
Bank of Communications Limited , founded in 1908, is one of the largest banks in China.-Before 1949:The Bank of Communications was founded in 1908 and emerged as one of the first few major national and note-issuing banks in the early days of the Republic of China...
was permitted to resume operations in the PRC.
During the mid to late 1990s, many state-owned financial institutions in Taiwan
Taiwan
Taiwan , also known, especially in the past, as Formosa , is the largest island of the same-named island group of East Asia in the western Pacific Ocean and located off the southeastern coast of mainland China. The island forms over 99% of the current territory of the Republic of China following...
were restructured and merged for greater efficiency. The Chiao Tung Bank was privatized in 1999, then underwent a series of consolidations. In 2002, it was merged with The International Commercial Bank of China under a single financial holding, which in 2006 came to be consolidated into a single bank—the Mega International Commercial Bank. It was argued at the time that the bank's former initials, ICBC, could lend it to be confused with the Industrial and Commercial Bank of China
Industrial and Commercial Bank of China
Industrial and Commercial Bank of China Ltd. is the largest bank in the world by profit and market capitalization. It is one China's 'Big Four' state-owned commercial banks .It was founded as a limited company on January 1, 1984...
. However, the re-branding was controversial in Taiwan
Taiwan
Taiwan , also known, especially in the past, as Formosa , is the largest island of the same-named island group of East Asia in the western Pacific Ocean and located off the southeastern coast of mainland China. The island forms over 99% of the current territory of the Republic of China following...
as many saw the change as a costly exercise meant to remove any reference to China
China
Chinese civilization may refer to:* China for more general discussion of the country.* Chinese culture* Greater China, the transnational community of ethnic Chinese.* History of China* Sinosphere, the area historically affected by Chinese culture...
from its name.
In March and April 2008, Mega International Commercial Bank featured prominently in the news in Taiwan
Taiwan
Taiwan , also known, especially in the past, as Formosa , is the largest island of the same-named island group of East Asia in the western Pacific Ocean and located off the southeastern coast of mainland China. The island forms over 99% of the current territory of the Republic of China following...
because the wife of president-elect Ma Ying-jeou
Ma Ying-jeou
Ma Ying-jeou is the 12th term and current President of the Republic of China , commonly known as Taiwan, and the Chairman of the Kuomintang Party, also known as the Chinese Nationalist Party. He formerly served as Justice Minister from 1993 to 1996, Mayor of Taipei from 1998 to 2006, and Chairman...
, Christine Chow
Christine Chow Ma
Christine Chow Ma or Chow Mei-ching is the wife of Ma Ying-Jeou, the current President of the Republic of China . Madam Ma is now the First Lady of the Republic of China.-Biography:...
, had declared her intention to continue working as the bank's legal counsel. In May 2008, she was permitted to retire from the bank.
Corporate structure
- Mega International Commercial Bank consists of seven groups of businesses:
- Corporate Banking Group
- Retail Banking Group
- Investment Banking Group
- Financial Market Group
- Planning & Information Group
- Risk Management Group
- Administration Group
- There are a total of eight committees:
- Loan Committee
- Investment Committee
- Problem Loan Committee
- Fund Management Committee
- Assets & Liabilities Management Committee
- Trust Assets Screening Committee
- Personnel Appraisal Committee
- Occupational Safety & Health Committee
See also
- List of banks in Taiwan
- Republic of ChinaRepublic of ChinaThe Republic of China , commonly known as Taiwan , is a unitary sovereign state located in East Asia. Originally based in mainland China, the Republic of China currently governs the island of Taiwan , which forms over 99% of its current territory, as well as Penghu, Kinmen, Matsu and other minor...
- Economy of TaiwanEconomy of TaiwanTaiwan has a developed capitalist economy that ranks as the 19th largest in the world by Purchasing power parity and 24th in nominal GDP of investment and foreign trade by the Republic of China government which governs Taiwan. In keeping with this trend, most large government-owned banks and...
- List of companies of Taiwan
- TaipeiTaipeiTaipei City is the capital of the Republic of China and the central city of the largest metropolitan area of Taiwan. Situated at the northern tip of the island, Taipei is located on the Tamsui River, and is about 25 km southwest of Keelung, its port on the Pacific Ocean...