Approval authority. The basis is Article 4 1 of the General Rules for Loans published by the People's Bank of China, which stipulates that "a hierarchical examination and approval system shall be established: the lender shall determine the examination and approval authority of branches at all levels according to the business volume, management level and loan risk, and the loans exceeding the examination and approval authority shall be examined and approved by the superior." Article 35 of the Commercial Bank Law affirms the latter system. Article 35 of China's "Commercial Bank Law" stipulates that "commercial banks should strictly examine the borrower's loan purpose, repayment ability and repayment method. Commercial bank loans are subject to the system of "separation of loan review and grading approval". The Law of People's Republic of China (PRC) Commercial Bank was adopted by the 13th meeting of the Standing Committee of the Eighth People's Congress of People's Republic of China (PRC) in May 2005 1995, promulgated by Decree No.47 of the President of the People's Republic of China, and revised twice in 2003 and 20 15.