TAIPEI (Taiwan News) — Taiwan’s Financial Supervisory Commission on Tuesday announced that the country’s list of domestic systemically important banks (D-SIBs) remains unchanged for this year, continuing to include six banks.

D-SIBs are banks that play a leading role in the financial market. A major risk event at one of these institutions could have significant negative effects on the broader financial system or economic activity, according to the FSC.

Taiwan's current D-SIBs list includes CTBC Bank, Taipei Fubon Bank, Cathay United Bank, Taiwan Cooperative Bank, Mega International Commercial Bank, and First Commercial Bank, according to CNA.

The FSC began designating D-SIBs in December 2019. CTBC, Fubon, Cathay United, Taiwan Cooperative, and Mega have been designated as D-SIBs every year since 2019, while First Commercial has been included since 2020.

The list has remained largely unchanged over the years. Questions remain about when a seventh bank might be added.

Banking Bureau Deputy Director-General Wang Yun-chung (王允中) said the Bank of Taiwan is currently the potential seventh candidate. However, it has not yet fully met the four required criteria for D-SIB designation.

Under FSC regulations, banks designated as D-SIBs must, starting from the year following their designation, gradually allocate an additional 2% of statutory capital and 2% of internally managed capital over a four-year period by the end of each year.