Offshore finance subsidiary

(redirected from Offshore Banking Units)

Offshore finance subsidiary

A wholly owned affiliate incorporated overseas, usually in a tax haven country, whose function is to issue securities abroad for use in either the parent's domestic or foreign business.

Offshore Finance Subsidiary

A wholly-owned subsidiary that exists in a foreign country, especially a tax haven. An offshore finance subsidiary issues stocks and bonds on behalf of the parent company outside the jurisdiction of the home country. The issues will therefore be subject to fewer regulations and perhaps also less scrutiny.
References in periodicals archive ?
The managerial structure of the Taiwanese bank consists of the head office with 29 units, 150 domestic branches excluding offshore banking units, and seven overseas branches including Los Angeles, Singapore, Hong Kong, Shanghai, New York, Tianjin and Wuhan.
Flaws identified by the study include lack of sufficient risk assessments in offshore banking units (OBUs).
These include the following: (a) BSP-reported/registered short-term (ST) trade-related loans from eligible banks; (b) medium or long-term trade-related FCDU (foreign currency deposit unit) or RBU (regular banking unit) loans with payments maturing within 90 days as of date of application; (c) ST trade-related borrowings of oil companies from offshore banking units (OBUs); and (d) US dollar trust receipts, among others.
These include the following: BSP-reported or -registered short-term trade-related loans from eligible banks; medium- or long-term trade-related loans with payments maturing within 90 days as of date of application; short-term trade-related borrowings of oil companies from offshore banking units; and US dollar trust receipts, among others.
These include: Short-term trade-related loans; medium/long-term trade-related foreign currency deposit unit/regular banking loans with payments maturing within 90 days; short-term trade-related borrowings of oil companies from offshore banking units; and US dollar trust receipts.
Pakistani banks run a network of around 100-plus overseas branches, booths and offshore banking units. Senior bankers say that following the guidelines given by the SBP, individual banks will immediately begin building their own framework of governance for these entities.
India has licensed seven offshore banking units (OBUs) to operate in Special Economic Zones (SEZs), which were established to promote export-oriented commercial businesses.
More than 100 offshore banking units and representative offices are located in Bahrain, besides numerous American firms.
Of which NT$51.5 billion (US$1.72 billion) was generated by offshore banking units (OBUs) and NT$18.3 billion (US$610 million) by overseas branches.
The Central Bank has been authorised since August 1997 to issue licences for offshore banking units (OBUs).
In August, Taiwan relaxed its regulations to allow major local banks to operate direct cross-strait transactions that are channeled through offshore banking units.