Operational conditions

For the purposes of determining whether the minimum capital endowment requirement is met, third-country branches should take into account liabilities held on their books (liabilities booked) and reported as such by them in accordance with the reporting framework in accord-ance with Commission Delegated Regulation (EU) No …/… [reference to the ITS on reporting for TCBs to be added].

Third-country branches should ensure that all the capital endowment assets referred to in points (a) to (c) of Article 48e(2) of Directive 2013/36/EU and deposited in the escrow account are always and continuously available for use for the purposes of Article 96 of Di-rective 2014/59/EU in the case of resolution of the third-country branch and for the purposes of the winding-up of the third-country branch in accordance with national law.

Third-country branches should implement arrangements, strategies, processes and mecha-nisms to meet their capital endowment requirement on a continuous basis and to comply with the provisions of these Guidelines.

The capital endowment assets referred to in points (a) to (c) of Article 48e(2) of Di-rective 2013/36/EU and deposited in the escrow account should not be counted towards the liquidity requirement of Article 48f of that Directive.

Third-country branches should monitor the geographical location of the capital endowment assets (that is the location of the issuer or of the protection provider, where relevant), their concentration risk and the consistency of their currency denomination with the distribution by currency of the liabilities of the third-country branch, especially of any deposits.

rective 2013/36/EU and deposited in the escrow account should be free from any encum-brance, other than an encumbrance needed to ensure that such assets will be available for use for the purposes of Article 96 of Directive 2014/59/EU in the case of resolution of the third-