Mainland China has eased restrictions on branch openings and entry into yuan business by foreign banks to further open up its domestic banking sector, Chinese official news agency Xinhua reported.

Wholly foreign-owned lenders or joint ventures are no longer required to establish a representative office in Mainland China before they set up a branch, China’s State Council announced over the weekend in a statement.

The requirement for foreign lenders to inject at least 100 million yuan (US$16.08 million) into any newly opened branch has also been dropped.

The revisions will take effect on January 1, Xinhua reported.

The council has also reduced from three to one the number of years a foreign bank has to be registered in Mainland China before it can conduct yuan business.