CONTACT: Barbara Hagenbaugh
(202) 457-8783
bhagenbaugh@fsforum.com
ICYMI: The U.S. economy could face ‘a perfect storm’ if Basel III Endgame goes into effect
Financial Services Forum CEO emphasizes the negative economic impacts of proposed capital requirements in Fortune op-ed
Washington, D.C. – The Basel III Endgame proposal to increase bank capital requirements would harm consumers, small businesses, and the broader economy if implemented as proposed, Financial Services Forum President and CEO Kevin Fromer warned in an op-ed published in Fortune.
“The largest banks, fundamentally strengthened by a series of changes, have served as a source of support by extending enormous amounts of credit, helping customers navigate uncertainty, and stabilizing the broader banking sector at a critical moment,” Fromer said.
“The future path of the U.S. economy is far from certain and hardworking Americans will pay a price if regulators demand new, unjustified capital requirements,” Fromer continued. “Policymakers must demand extensive changes to the Basel III Endgame proposal so the banking sector can continue its essential role in the U.S. economy–and to avoid taxing consumers and businesses for no appreciable benefit to financial stability.”
Fromer also this week appeared on Bloomberg TV. “We have been through many, many years of activity where these institutions have encountered everything you can throw at them and they have been operating with more than enough capital,” he said.
Click here to read the full op-ed.
Go to smartbankcapital.com to learn more about the strength and resiliency of the nation’s largest banks and the costs of higher capital requirements.
###
The Financial Services Forum is an economic policy and advocacy organization whose members are the chief executive officers of the eight largest and most diversified financial institutions headquartered in the United States. Forum member institutions are a leading source of lending and investment in the United States and serve millions of consumers, businesses, investors, and communities throughout the country. The Forum promotes policies that support savings and investment, financial inclusion, deep and liquid capital markets, a competitive global marketplace, and a sound financial system.
Visit our website: fsforum.com