Author: fsf

With Federal Reserve Vice Chair for Supervision Michael Barr set to speak at the 2024 U.S. Treasury Market Conference today, attention is turning to potential insights into the anticipated Basel III Endgame re-proposal. While Barr has previously outlined revisions, questions remain for what this means for Americans across the economy. As we look ahead, here are three… Continue reading Three things to remember ahead of Federal Reserve Vice Chair for Supervision Michael Barr’s remarks

The Bank of England (BOE) last week announced significant revisions to its proposed bank capital rules to comply with Basel III Endgame. The BOE was concerned that requiring banks to maintain substantial amounts of additional capital could “make borrowing more expensive and less widely available, which in turn would also be bad for growth.”  The result? Tier 1… Continue reading Meanwhile, across the pond…

Tomorrow, Federal Reserve Vice Chair for Supervision Michael Barr will be giving remarks on Basel III Endgame, where he will “preview the regulators’ revised proposal and explain the next steps.” Here are three things you should keep in mind before Barr’s remarks: 1. The opposition to Basel III Endgame is overwhelming and diverse. About 97.5% of the Basel… Continue reading Three things to consider ahead of Barr’s speech tomorrow

As central bankers and other policymakers gather at the annual Jackson Hole Economic Policy Symposium, here are three points they should keep in mind when it comes to Basel III Endgame and its likely impact on the economy: The nation’s largest banks have proven their resiliency and are well-positioned for potential economic turbulence. The proposed… Continue reading Three things to keep in mind about Basel III Endgame ahead of the Jackson Hole Economic Symposium

As Americans look to take their final trips of the summer, and U.S. athletes and fans return from a record-breaking Olympics, we should remember that the Basel III Endgame proposal threatens to increase costs for transportation in myriad ways, including air travel. Basel III Endgame needs to be reproposed, among many other reasons, because Americans can’t afford the… Continue reading As August travel peaks post-Olympics, remember that Basel III Endgame threatens to upend transportation prices

The Government Accountability Office (GAO) recently published a report calling for improvements in regulatory analysis by financial federal agencies—including the Federal Reserve, FDIC, and OCC. The GAO report echoes similar concerns from policymakers and other stakeholders regarding the Basel III Endgame proposal and the need for more robust analysis to justify its implementation: A revised proposal that does… Continue reading GAO report calls for improvement of regulatory analysis

American athletes continue to compete for the Olympics in Paris, showcasing the competitive spirit of the United States on the world stage. That spirit also extends to the U.S.-based companies that look to compete in the global marketplace, which requires a level playing field with companies based in other countries. A proposed rule garnering attention… Continue reading Basel III Endgame will make U.S. less competitive

Yesterday, FDIC Vice Chair Travis Hill reiterated the need for a re-proposal of Basel III Endgame, as called for by other regulators and policymakers. “It’s clear that the proposal, issued almost exactly a year ago, lacked appreciation for its real-world impacts, and I appreciate the widespread acknowledgment that broad and material changes are necessary. I agree… Continue reading ICYMI: Another regulator reiterates need for re-proposal of Basel III Endgame

Today, Federal Reserve Chair Powell stated that regulators are making “quite a bit of progress” on broad and material changes to Basel III Endgame and said the Federal Reserve was in favor of issuing a re-proposal for public comment.  We agree: A re-proposal is essential.

Former and current regulators are concerned about the lack of robust analysis to justify the Basel III Endgame proposal and its unintended consequences if implemented.  One thing is clear: regulators need to scrap the proposal and start over.