The EBA Consults On Regulatory Products On Third-Country Branches Under The Capital Requirements Directive
The European Banking Authority (EBA) today launched three public consultations on Regulatory Technical Standards (RTS) and Guidelines (GL) on third-country branches under the Capital Requirements Directive (CRD) concerning booking arrangements, capital endowment and supervisory colleges. These regulatory products aim at ensuring a harmonised and consistent implementation of the new EU framework for third-country branches, enhancing comparability across Member States, and fostering effective supervisory cooperation. The three consultations run until 10 October 2025.
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The draft RTS specifying the booking arrangements lay down the methodology to identify and record assets and liabilities booked or originated by the third-country branch, as well as off-balance sheet items. They also outline the minimum content of the registry book and information on risks to be maintained. The RTS aim to ensure convergence of third-country branches’ practices regarding the implementation of booking arrangements and the maintenance of the registry book.
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The draft GLs on instruments for the capital endowment include the list of instruments that third-country branches can use - in addition to cash and debt securities issued by central governments or central banks of Member States - to meet their capital endowment requirement and specify minimum operational conditions that third-country branches should respect in order to ensure that the capital endowment instruments serve their purpose.
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The draft RTS on cooperation between competent authorities supervising third-country branches aim to facilitate and support competent authorities in cooperating and exchanging information relating to third-country branches in going concern and emergency situations. They also provide practical modalities for organising colleges of supervisors for third-country branches to ensure that all activities of the third-country group in the Union are subject to comprehensive supervision.
Consultation process
Comments on the three consultations can be sent to the EBA by clicking on the “send your comments” button on the respective consultation pages. Please note that the deadline for the submission of comments is 10 October 2025. All contributions received will be published after the consultation closes, unless requested otherwise.
A public hearing on all three regulatory products will take place on 3 September from 10:00 to 12:00 CEST. The deadline for registration is the 1 September 2025, 12:00 CEST.
Legal basis
The EBA has developed the draft RTS on booking arrangements in accordance with Article 48h of Directive 2013/36/EU, pursuant to which TCBs should maintain a registry book to track and keep a record of the assets and liabilities associated with their activities.
The draft GL on instruments for the capital endowment have been developed in accordance with Article 48e of Directive 2013/36/EU, requiring TCBs to maintain, at all times, a minimum capital endowment deposited in an escrow account, which shall be available in the case of resolution or winding-up of the TCB.
The draft RTS on cooperation between competent authorities supervising TCBs have been developed in accordance with Article 48p(7) of Directive 2013/36/EU to specify the effective cooperation and exchange of information between competent authorities supervising institutions and branches of the same third-country group and the conditions for the functioning of colleges of supervisors for class 1 TCBs.
Background and next steps
Directive (EU) 2024/1619, amending Directive 2013/36/EU, introduces a new regime applicable to branches in the EU of third country credit institutions (third country branches or TCBs). It lays down a minimum harmonisation framework covering authorisation, prudential requirements – including booking arrangements, capital endowment, liquidity, internal governance, common reporting requirements - and supervisory practices.
The updated Guidelines on internal governance and those on supervisory review and evaluation process (SREP) for credit institutions will include a separate section on third-country branches related aspects.
Documents