China’s Financial Supervisory Commission (FSC) has proposed a draft of revised regulations for third-party payment services intending to expand the potential e-payments industry in the country.
The new rules would facilitate Chunghwa Post, the state-run firm, and electronic card issuers to foray into the sector along with e-commerce companies, reported Taipei Times citing a statement from the commission.
The statement further stated that the commission is keen to expand the participation in a bid to strengthen order and fair competition in the market.
The regulator has retained the previous capital requirement of NT$300m ($99,400) and the maximum allowed stored value of NT$30,000 ( $994.2) in the revised regulations.
In addition, the firms would need to secure the Ministry of Economic Affairs’ approval once their online transactions and payments reach a certain undisclosed cut-off amount. If the e-commerce providers do not cross the threshold point, they can continue the transactions without regulator’s supervision.
FSC has advised that partnering with bank could aid the companies with payment operations and account safety.
The proposed draft rules are yet to receive approval from the Cabinet and review by the legislature.