The FSC on 26 September 2020, after engaging in careful evaluation of banking industry conditions and the need for balanced financial industry development, amended Article 18 and added a new Article 19-4 in the aforementioned Regulations to achieve the following objectives: (a) properly expand the business capacity of the branches of foreign banks in Taiwan; and (b) support their efforts to extend credits and engage in investments in Taiwan, so they can help spur real economic development. Under the amended Article 18, a foreign bank branch‘s “short-term loans of one-year or less received from the head office” may be included in the basis for calculation of total deposits as referred to in Articles 72 and 74-1 of the “Banking Act.” In addition, the newly added Article 19-4 expressly provides that 50% of the loan loss provisions and reserves against liability on guarantees that the branches of foreign banks have set aside in accordance with legal requirements may be counted toward: (a) determinations (as referred to in these Regulations) regarding the branch‘s net worth and whether it has an accumulated loss; and (b) the aforementioned basis for calculation of total deposits.