Annex A of Circular

Appendix 33

BASIC GUIDELINES IN ESTABLISHING BANKS

(Appendix to Seetion lO2)

A. THE APPLICATION PROCESS

XXX

Stoge l: Applicotion for Bongko Sentrol opproval to estoblish o new bank

PRE-APPROVAL

I. xxx
2. The required documents and other information in support of the application are
as follows:

a. Agreement to organize a bank using the prescribed formt,2.

b. For each individual incorporator, subscriber, proposed director and principal

. officer:

Requirements Principal
Incorporators SubscribeF Directors
Officer
l. Biographical data using the prescribed
formr'a with (2"x2") photograph taken
within the last six (6) months from the
date the application was received by the
Banqko Sentral.
2. Evidence of citizenship.I
Evidence of financial capacity as of a date
not earlier than ninety (9O) calendar days
prior to the filin9 of application such as
credit reports, bank deposits, investments,
real estate owned, etc., accompanied by
waiver of rights under R.A. No. 1405, as
amended. for covered items.I
4. Certified photocopies of Income Tax
Returns (lTRs) or equivalent document
from other jurisdiction for non-
Fi i pinos/non-resident Fi i pi nos for the last
I I

three (3) calendar/flscal vears.r

5. Clearances from the National Bureau of
Investiqation (NBl) and Bureau of Internal

I Documents issued outside the country shall be apostilled or consularized, as applicable.

2 Copy of the prescribed form may be downloaded from the BSP website under the section on Regulations
- Guidelines and Other Regulations - Guidelines on Establishing Banks, using the link:
httpsr#www.bsp.gov.phfF,egulations/Cr ridelines9/o2Oandc/o2Ootherc/o?ORegu lations/Agreementol?Otoo/o2
OOrg: n izeolo2Oao/o2O 8a nk-pdf
3 This shall include UBos.
a Copy of the prescribed form may be downloaded from the BSP website under the section on Flegulations
- Guidelines and Other Regulations - Guidelines on Establishing Banks, using the link:
htf ps:l/www-bsp.gov-ph/Qegulations/Cu idelinesg/.2Oandva2Oother?d2OReguletions/Biographic6l%'2Onata.p
d+
5 This includes directors holding nominal shares.
 Requirements Principal
Incorporator3 Subscriber3 Directors
Officer
Revenue (BlR) or equivalent clearances or
certificate from home country for non-
Filipinos, obtained within the last six (6)
months from the date the application was
received bv the-Banqko Sentral.I

The required certifications and other documentary proof of qualifications for

the confirmation of the election/appointment of directors/officers are shown
in Appendix 1O1.

c. For corporate subscribers

Domestic Foreign
Requirements
Bank Non-bank Bank6 Non-bank
l. Board resolution authorizing the
corporation to invest in such bank; and
designating the person who will
represent the corporation in connection
therewith.l
2. xxx
3. xxx
4. xxx
5. xxx
6, xxx
7. Certified photocopies of lTRs or
equivalent tax returns filed by foreign
corporate subscribers for the last three (3)
calendar/fi scal years.r
L BIR clearance or equivalent clearance
from home country's tax authorities for
foreign corporate subscribers obtained
within the last six (6) months from the
date the application was received by the
Banqko Sentral.r
9. xxx
lO. xxx
ll. Certification from relevant home country
supervisory authority that it has no
objection to the investment in a bank in
the Philippines, and it will provide the
Bangko Sentral with relevant supervisory
information on the foreign corporate
subscriber to the extent allowed under
existinq laws.I

xxx
t. Feasibility study with projected monthly financial statements (FS) for the first
year and projected yearly FS for the first five (5) years of operation, using
realistic assumptions consistent with the proposed business model and
corporate strategy of the bank. The applicant bank should be able to
demonstrate the viability of its business model and compliance with the

6 For foreign bank subscriber other than those entering via Fl.A. No. 7721, as amended by R.A. No. l064l.
Meanwhile, foreign bank applicants entering via R.A. No.7721, as amended by R.A. No. 1064l shall refer to
the documentary requirements in Appendix 2to be submitted to the Bangko Sentral during Stage I of the
application process.

Page2ol 4
 minimum required capital prescribed under Secs. 121 (Minimum
copitolizotion/ and 1O2 (Estoblishment of digitol bonks), as applicable, on a
continuing basis, among others. The details of the assumptions used shall be
presented in the feasibility study.

xxx
I. Certification executed by each of the subscribers that the amount committed
to pay the proposed paid-up capitalization in the bank was not derived from
borrowings, unlawful activity or any money laundering activity.t

h. XXX

Other documents which may be required by the Bangko Sentral relevant to

the evaluation of the application. This shall include the prior approval of the
Bangko Sentral on the equity investment of an existing bank (investing bank)
in the voting stock of an applicant bank (investee company/bank) pursuant to
Sec. 371 (lnvestment in equitiesl. For this purpose, items "e" and "f' of the
documentary requirements provided under Sec. 371 (lnvestment in equities)
shall not apply.

XXX

EVALUATION

Co pito I R eq u i re me nts/Stockh ol d i n g s

XXX

lncorporotors, Subscribers, Directors ond Officers

l. The incorporators, subscribers and proposed directors and officers must be

persons of integrity, of good credit standing in the business community, and must
possess technical expertise in the field of banking and finance. x x x

2. The individual incorporators/subscribers must have adequate financial strength to

pay their proposed subscriptions in the bank and/or infuse additional capital when
needed. The Bangko Sentral reserves the right to require the incorporator or
subscriber to submit a deed of undertaking committing himself to pay his
subscription and/or infuse additional capital to support the operations of the
proposed bank in an ongoing basis.

XXX

7. The proposed directors and officers of the bank shall be subject to qualifications
and other requirements under Secs. 132 (Qualifications of a director) and 134
(Qualifications of an officer)as well as confirmation/approval of the Bangko Sentral
pursuant to Sec. 137 (Confirmation of election/appointment of directorshfficers).
The required certifications and other documentary proof of qualifications for the
confirmation of the election/appointment of directors/officers are shown in
Appendix 1O1.

xxx

Page 3 of 4
POST APPROVAL

Stoge II: Application for the issuonce of Certificate of Authority (COA) to f,legister
with the sEc
'1. Within thirty (3O)calendar days from receipt of advice of approval by the Monetary
Board of the application for authority to establish the bank, the organizers shall:

XXX

b. Deposit with any U/KB (for KBs, TBs and digital banks), any bank (for RBs and
coop banks), and any UB (for lslamic banks)the initial paid-up capital of the
proposed bank, and submit a copy of the depository bank's certification of
deposit indicating, among others, the source account under the name of the
incorporators where the funds are debited or other source/s of fund as defined
under ltem "ee" of Sec. 9O4, and a notarized waiver of rights to confidentiality
of information on the source/s of funds for the initial paid-up capital. The
certificate of deposit and notarized waiver of rights to confidentiality of
information shall follow the prescribed format provided in Annex A of
Appendix 33 (Annex A-1 of this Circulorl and Annex B of Appendix 33 (Annex
A-2 of this Circulor), respectively. The said certificate of deposit and notarized
waiver of rights to confidentiality of information on the source of funds shall
also be submitted by subscribers in the case of additional capital infusion;

c. XXX

d. Submit a copy of certificate of the inward remittance of capitalT, in the case of

foreign subscribers.
xxx

Flefer to the prescribed form in Appendix lO.l Certificate of Inward Remittance (ClR) of Foreign
Exchange which may be downloaded from the Bangko Sentral website, using the link:
https://www.bsp.gov.ph/SitePageslRegu lations/RegulationsList"aspx?Tabld=I

Page 4ot 4
 Annex A'l of Circular
Annex A of Appendix 33

CERTIFICATION OF DEPOSIT AND/OR PLACEM ENT

(Name of Bank)
(Complete Address)
(Tel. Nos./Fax/Email)

Date:

This is to certiff that a deposit amounting to lAmount in Wordsl $Amount in FiguresTl

was credited to lClient Account Numberl of [C/ient Nome] on [Dote Creditedl
maintained at [Nome of Bronch) with details as follows:

Source/s of Fund for the initial paid-up

-' -r Proof
capitalof [Nome of Bonk]
Provide breokdown ond detoils lndicote proof presented, os opplicoble
of source/s of fund of the incorporotors

Name and signature

Authorized Bank Personnel

Conforme:

Name and Signature

Account HolderA

Pagel ofl
 Annex A-2 of Circular
Annex B of Appendix 33

WAIVER OF RIGHTS TO SECRECY OF BANK DEPOSITS

AND CONFIDENTIALITY OF INFORMATION

Date:

This waiver is executed for purposes of complying with the requirements of the Bangko
Sentral ng Pilipinas (Bangko Sentral) for the organization of [Nome of bonkl,
undergoing Stage ll of the licensing process to establish a bank in the Philippines, or
the infusion of additionalcapital, as may be needed.

Pursuant to the provisions of Sections 2 and 3 of R.A. No. l4O5 (Bank Secrecy Law), as
amended, and Section 8 of Fl.A. No. 6426 (Foreign Currency Deposit Act of the
Philippines), as amended, and such other laws relating to the secrecy of bank deposits,
l/we, as incorporatorfs or subscriberA of lNome of bonkl, waive my/our rights to
confidentiality of information to the following source/s of funds indicated below, for
the initial or additional paid-up capital of [Nome of bonk|.lArl/e hereby authorize the
lNome of Depository Bonkl with which l/we have transactions with to disclose to the
Bangko Sentral all information pertaining to the deposits, investments, loans or other
transactions including the history or status of our dealings with said banks or financial
institutions and for the Bangko Sentral to make all inquiries as may be necessary
regarding the same.

of Incorporator/s or r Source/s of Fund for the initial or

Subscriber/s I additional paid-up capital of the bank

IProvide breokdown ond detoils

of source/s of fund of the incorporator/s
or subscriber/s (e 9., Bonk bronch, account nome ond
number

Signature over Printed Name of

I ncorporatorA or Su bscriberA

SUBSCRIBED AND SWORN TO before me, this _ day of .at

affiant/s exhibiting their government-issued identification cards as follows:

NAME GOVERNMENT- DATE OF ISSUE PLACE OF ISSUE

ISSUED ID

Witness my hand and notarialsealon the date and place above-written.

NOTARY PUBLIC
Doc. No. _i
Page No. _;
Book No. _;
Series of 20

Pagel ofI
 BASIC GUIDELINES IN ESTABLISHING BANKS
(Appendix to Sec. 102)

A. THE APPLICATION PROCESS

Consistent with relevant laws, rules and regulations, the licensing framework of the Bangko Sentral encompasses the
assessment of the transparency of ownership and control structure; suitability of shareholders, including the ultimate
beneficial owners (UBOs); fitness and propriety of directors and senior management; and adequacy of capital, including
sources of initial capital and ability of shareholders to provide additional financial support, where needed. The
assessment shall likewise cover the strategic and operating plan, including an appropriate system of corporate
governance, risk management and internal controls, projected financial condition, consumer assistance mechanism,
and compliance with anti-money laundering (AML) and combating the financing of terrorism (CFT) regulations.

Stage l: Application for Bangko Sentral approval to establish a new bank

PRE-APPROVAL

1. The application for authority to establish a bank shall be signed by a representative authorized by the
incorporators/subscribers and submitted either electronically or in hardcopy to the appropriate supervising
department of the Bangko Sentral in two (2) copies. The prospective applicant bank may engage the Bangko
Sentral in discussion before submitting the formal application.

2. The required documents1 and other information in support of the application are, as follows:

a. Agreement to organize a bank using the prescribed form2.

b. For each individual incorporator, subscriber, proposed director and principal officer:

Requirements Incorporators3 Subscribers Directors Principal

Officers

1. Biographical data using the prescribed ✔ ✔ ✔ ✔

form4 with (2”x2”) photograph taken
within the last six (6) months from the
date the application was received by the
Bangko Sentral.

2. Evidence of citizenship ✔ ✔ ✔ ✔
3. Evidence of financial capacity as of a date ✔ ✔
not earlier than ninety (90) calendar days
prior to the filing of application such as
credit reports, bank deposits, investments,
real estate owned, etc., accompanied by
waiver of rights under R. A. No. 1405, as
amended, for covered items

4. Certified photocopies of Income Tax ✔ ✔

Returns (ITRs) or equivalent document
from other jurisdiction for non-
Filipino/non-resident Filipinos for the last
three (3) calendar/fiscal years

5. Clearances from the National Bureau of ✔ ✔ ✔ ✔

Investigation (NBI) and Bureau of
Internal Revenue (BIR) or equivalent
clearances or certificate from home
country for non-Filipinos, obtained

1 Documents issued outside the country shall be apostilled or consularized, as applicable.

2 Copy of the prescribed form may be downloaded from the BSP website under the section on Regulations – Guidelines and Other Regulations – Guidelines
on Establishing Banks, using the link:
https://www.bsp.gov.ph/Regulations/Guidelines%20and%20other%20Regulations/Agreement%20to%20Organize%20a20Bank.pdf
3 This shall include UBOs.
4 Copy of the prescribed form may be downloaded from the BSP website under the section on Regulations – Guidelines and Other Regulations – Guidelines
on Establishing Banks, using the link: https://www.bsp.sov.ph/Requlations/Guidelines%2oand%2oother%2OResulations/Biosraphical%2oData.pdf

Manual of Regulations for Banks – Appendix 33 Page 1

 within the last six (6) months from the
date the application was received by the
Bangko Sentral

c. For corporate subscribers:

Requirements Domestic Foreign

Bank Non-bank Bank1 Non-bank

1. Board resolution authorizing the ✔ ✔ ✔ ✔

corporation to invest in such bank; and
designating the person who will represent
the corporation in connection therewith

2. Latest articles of incorporation (AOI) and ✔ ✔ ✔ ✔

by-laws (BL) registered with the Securities
and Exchange Commission (SEC) or similar
agency from home country for foreign
corporate subscribers.

3. Corporate background providing the ✔ ✔ ✔

following:

a. Date and place of incorporation;

b. List of domestic and foreign branches,

agencies, other offices, subsidiaries and
affiliates and their location and line of
business;

c. Range of financial and non-financial

products offered to and services
performed for clients;

d. Conglomerate structure/map where

the corporate subscriber belongs; and

e. Financial and commercial relationship

with the Philippine government, local
banks, business entities and residents,
past and present

4. Latest General Information Sheet filed ✔ ✔ ✔ ✔

with the SEC or equivalent information
sheet filed with the home country’s SEC or
similar agency for foreign corporate
subscribers.

5. List of all stockholders, including the ✔ ✔ ✔ ✔

corporation’s UBOs, indicating the
citizenship, address, and the number,
amount and percentage of the voting and
non-voting shares held by them

6. Annual reports at the entity-level and ✔ ✔ ✔ ✔

consolidated level with audited financial
statements for the last three (3)
calendar/fiscal years prior to the filing of
application

1
For foreign bank subscriber other than those entering via R.A. No. 7721, as amended by R.A. No. 10641. Meanwhile, foreign bank ap plicants entering via
R.A. No.7721, as amended by R.A. No. 10641 shall refer to the documentary requirements in Appendix 2 to be submitted to the Bangko Sentral during Stage
I of the application process.

Manual of Regulations for Banks – Appendix 33 Page 2

 7. Certified photocopies of ITRs or ✔ ✔ ✔ ✔
equivalent tax returns filed by foreign
corporate subscribers for the last three
(3) calendar/ fiscal years

8. BIR clearance or equivalent clearance ✔ ✔ ✔ ✔

from home country's tax authorities for
foreign corporate subscribers obtained
within the last six (6) months from the
date the application was received by the
Bangko Sentral.

9. Certification from the board of directors ✔

that it is compliant with the applicable
conditions set forth in Sec. 371 for the
equity investment to the proposed bank

10. List of directors and principal officers ✔ ✔ ✔ ✔

including their citizenships

11. Certification from relevant home ✔ ✔

country supervisory authority that it has
no objection to the investment in a bank
in the Philippines, and it will provide the
Bangko Sentral with relevant
supervisory information on the foreign
corporate subscriber to the extent
allowed under existing laws

d. A UBO of a corporate stockholder shall likewise submit clearances from the NBI and the BIR or equivalent
clearances or certificates from home country for non-Filipinos, obtained within the last six (6) months from
the date the application was received by the Bangko Sentral.

e. Comprehensive corporate plan describing its business model, including the target markets and channels,
corporate strategy and economic justification for establishing the bank. The said document shall also provide
detailed information to substantiate that the proposed bank has adequate financial, managerial and
organizational resources in place to support its strategy and operations on an ongoing basis.

f. Feasibility study with projected monthly financial statements (FS) for the first year and projected yearly FS
for the first five (5) years of operation, using realistic assumptions consistent with the proposed business
model and corporate strategy of the bank. The details of the assumptions used shall be presented in the
feasibility study.

If an applicant is seeking a digital banking license, a detailed review and assessment of the supporting
information technology (IT) systems and infrastructure vis-ὰ-vis the digital banking business model should be
performed by a competent independent third-party IT expert. Said technical review shall cover a
comprehensive assessment of the design, security controls, scalability, and resilience capability of the IT
infrastructure, network, application, database, security systems, AML/CFT measures and other applicable
technologies supporting the digital banking operations.

A copy of the assessment and technical reports shall be submitted to Bangko Sentral as part of the
application requirements.

g. Certification executed by each of the subscribers that the amount committed to pay the proposed paid-up
capitalization in the bank was not derived from borrowings, unlawful activity or any money laundering activity.

h. In addition to the foregoing requirements, an applicant seeking for a digital banking license shall also submit
the applicable requirements in offering Electronic Payments and Financial Services (EPFS) as enumerated
under Sec. 701 (Requirements for the grant of authority to offer EPFS) and Appendix 141, including the list
and nature of material outsourcing arrangements.

i. Other documents which may be required by the Bangko Sentral relevant to the evaluation of the application.

Manual of Regulations for Banks – Appendix 33 Page 3

 3. The application shall be processed on a first-come, first-served basis: Provided, That all the required documents
and information are complete. Incomplete application documents shall be returned by the Bangko Sentral. The
said application shall be considered closed without prejudice to the submission of a new application together with
the complete documentary requirements.

4. The applicant bank shall be required to make a presentation to the Financial Supervision Sector of the Bangko
Sentral. The presentation shall cover the following: ownership structure, including UBOs, of the proposed bank
and its related parties, if any; corporate plan and results of the feasibility study; governance structure (i.e., board
of directors and senior management); amount and sources of capitalization; risk management and internal control
system; consumer assistance mechanism; general overview of the AML/CFT measures to be adopted; and other
information relevant to the evaluation of the application.

5. The non-refundable application fee, as provided under Sec. 102 and Appendix 2, shall be paid upon filing of
complete application documents.

EVALUATION

Capital Requirements/Stockholdings

1. Banks to be established shall comply with the required minimum capital prescribed under Sec. 121 (minimum
capitalization) and 102 (Establishment of digital banks), as applicable.

2. The stockholdings in any bank shall be subject to the limits on stockholdings in a single bank and several banks as
prescribed under Secs. 122 (Limits of stockholdings in a single bank), 122-A (Limits on stockholdings in several
banks), and 122-C (Limits in stockholdings in several rural banks), respectively.

Incorporators, Subscribers, Directors and Officers

1. The incorporators, subscribers and proposed directors and officers must be persons of integrity, of good credit
standing in the business community, and must possess technical expertise in the field of banking and finance. In
the case of applicants for digital banking license, at least one member of the board of directors and one senior
management officer should have a minimum of three (3) years of experience and technical knowledge in operating
a business in the field of technology or e-commerce.

2. The incorporators/subscribers must have adequate financial strength to pay their proposed subscriptions in the
bank and/or infuse additional capital when needed. The Bangko Sentral reserves the right to require the
incorporator, subscriber or UBO to submit a deed of undertaking committing himself to pay his subscription
and/or infuse additional capital to support the operations of the proposed bank in an ongoing basis.

3. The incorporators, subscribers and proposed directors and officers must not have been convicted of any crime or
involved in any of the cases enumerated in Sec. 138 (Disqualification and Watchlisting of Directors and Officers),
as a principal, accomplice or accessory. Unless otherwise allowed under the provisions of existing laws, the
incorporators, subscribers and proposed directors and officers are not officers or employees of a government
agency, instrumentality, department or office charged with the supervision of, or the granting of loans to banks
within one (1) year prior to their subscription/appointment/election/hiring. Moreover, such incorporators,
subscribers and proposed directors and officers must have no adverse derogatory information of any kind (e.g.,
included in the watchlist file of any competent authority locally or internationally, have pending administrative or
criminal cases, among other things). Furthermore, in case of corporate stockholder, the UBO must be expressly
declared and required to submit the same proof of qualifications.

4. A bank may be organized with not less than five (5) nor more than fifteen (15) incorporators.

5. The number and nationality of the members of the board of directors of the bank shall be subject to the limits
prescribed under Sec. 132 (Composition of the board of directors).

6. No appointive or elective public official, whether full-time or part-time, shall at the same time serve as officer of
a bank except in cases where such service is incident to financial assistance provided by the government or a
government-owned or -controlled corporation (GOCC) to the bank or in cases allowed under existing laws.

7. The proposed directors and officers of the bank shall be subject to qualifications and other requirements under
Secs. 132 (Qualifications of a director) and 134 (Qualifications of an officer) as well as confirmation/approval of
the Bangko Sentral pursuant to Sec. 137 (Confirmation of election/appointment of directors/officers).

8. The disqualifications of directors and officers prescribed under Sec. 138 (Disqualification and Watchlisting of
Directors and Officers) shall also apply.

Manual of Regulations for Banks – Appendix 33 Page 4

POST APPROVAL

Stage II: Application for the issuance of Certificate of Authority (COA) to Register with the SEC

1. Within thirty (30) calendar days from receipt of advice of approval by the Monetary Board of the application for
authority to establish the bank, the organizers shall:

a. Submit the proposed AOI, BL and treasurer's sworn statement in four (4) copies and the letter requesting the
issuance of the COA to Register the AOI and BL with the SEC;

b. Deposit with any U/KB (for KBs, TBs and digital banks), any bank (for RBs and coop banks), and any UB (for
Islamic banks) the initial paid-up capital of the proposed bank, and submit a copy of the depository bank's
certification of deposit;

c. Pay the applicable license fee at the Bangko Sentral Cash Department (for cash) or other alternative payment
modes acceptable to the Bangko Sentral, net of the previously paid application fee; and

d. Submit a copy of certificate of the inward remittance of capital, in the case of foreign subscribers.

2. Within sixty (60) calendar days after the issuance by the Bangko Sentral of the COA to Register the AOI and BL, the
organizers shall effect the filing of said documents with the SEC.

Stage lll: Application for the issuance of COA to Operate

3. Within one (1) year from receipt of advice of approval by the Monetary Board of the application for authority to
establish the bank, the organizers shall:

a. Complete the establishment of the bank premises, with the applicable minimum security measures under
Sec. 147 (Minimum security measures) and the requirements under Batas Pambansa Blg. 3441 and Republic
Act No. 99942;

b. Effect and complete the recruitment and hiring of officers and employees of the bank;

c. Attend the briefing on Bangko Sentral reportorial requirements conducted by the appropriate department
of the Bangko Sentral together with the relevant officers of the bank;

d. Attend the briefing on Anti-Money Laundering (AML) registration and reportorial requirements conducted
by the AML Council Secretariat (AMLCS) together with the relevant officers of the bank; and

e. Submit the letter requesting the issuance of COA to Operate the bank and the following documentary
requirements at least thirty (30) calendar days before the scheduled start of operations:

(1) Proof of registration of AOI and BL with the SEC;

(2) Certification signed by all the directors stating that –

i. All the conditions of the approval to establish the proposed bank have been complied with;

ii. The policies, and procedures covering all risk areas; internal controls, information technology,
accounting systems, and business continuity plan that have been approved by the board of directors
are in place upon start of operations;

iii. The necessary bond policy on custodial officers and insurance policy on bank properties required
to be insured have been obtained;

iv. All applicable pre-operating requirements under existing laws and regulations, which include
among others, (a) use of business name, (b) posting of schedule of banking days and hours, notice
to depositors on clearing cut- off time, and disclosure statement on loan/ credit transaction, (c)
Batas Pambansa Blg. 344 and Republic Act No. 9994; (d) minimum security measures; and (e)
publication of consumer assistance management system have been complied with; and

1 An Act to Enhance the Mobility of Disabled Persons by Requiring Certain Buildings, Institutions, Establishments and Public Utilities to Install Facilities and
Other Devices
2 An Act Granting Additional Benefits and Privileges to Senior Citizens

Manual of Regulations for Banks – Appendix 33 Page 5

 v. No person who is the spouse or relative within the second degree of consanguinity or affinity will
be appointed to any officership positions across the following functional categories in the bank: (a)
decision making and senior management function, (b) treasury function, (c) recordkeeping and
financial reporting function, (d) safekeeping of assets, (e) risk management function, (f) compliance
function, and (g) internal audit function.

(3) Proof of compliance with the applicable pre- operating requirements under existing rules and regulations
in relation to Item "(21)(iv)" above;
(4) List of principal and junior officers and their respective designations and salaries;
(5) Ownership and governance structure;
(6) Contract of lease on bank’s premises, if the same are to be leased;
(7) List of stockholders stating the number and percentage of voting stocks owned by them as well as
their citizenships;
(8) Certification from the Philippine Deposit Insurance Corporation (PDIC) stating that the organizers have
undergone a briefing on all of its requirements;
(9) Alien Employment Permit or other applicable document issued by the Department of Labor and
Employment for foreign directors and officers;
(10) Provisional certificate of registration from the AMLCS; and
(11) Other documents/papers which may be required by the Bangko Sentral.

B. OPENING OF THE BANK FOR BUSINESS AFTER THE CERTIFICATE OF AUTHORITY TO OPERATE HAS BEEN ISSUED

Within five (5) banking days after the start of operation, the bank shall –

1. Inform the Bangko Sentral of the first day of operation and the banking days and hours; and
2. Submit the balance sheet as of the first day of operation.

The approved applicant bank is expected to adhere to the qualifications for the grant of banking license on a continuing
basis. Moreover, it shall be subjected to assessment/s or examination/s of the Bangko Sentral to ensure that the
necessary governance structure, risk management system and internal controls, among others, are in place. The
assessment may be conducted any time before or after the issuance of the COA to operate the bank.

C. REVOCATION OF AUTHORITY TO ESTABLISH A BANK

The basis for revocation of authority to establish a bank are provided under Sec. 102.

(Circular Nos. 1105 dated 02 December 2020, 969 dated 22 August 2017, 930 dated 18 November 2016, and 902 dated 15 February 2016)

Manual of Regulations for Banks – Appendix 33 Page 6