Friday, 31 Oct 2025
  • Contact
  • Privacy Policy
  • Terms & Conditions
  • DMCA
logo logo
  • World
  • Politics
  • Crime
  • Economy
  • Tech & Science
  • Sports
  • Entertainment
  • More
    • Education
    • Celebrities
    • Culture and Arts
    • Environment
    • Health and Wellness
    • Lifestyle
  • 🔥
  • Trump
  • VIDEO
  • House
  • White
  • ScienceAlert
  • Trumps
  • Watch
  • man
  • Health
  • Season
Font ResizerAa
American FocusAmerican Focus
Search
  • World
  • Politics
  • Crime
  • Economy
  • Tech & Science
  • Sports
  • Entertainment
  • More
    • Education
    • Celebrities
    • Culture and Arts
    • Environment
    • Health and Wellness
    • Lifestyle
Follow US
© 2024 americanfocus.online – All Rights Reserved.
American Focus > Blog > Economy > US poised to dial back bank rules imposed in wake of 2008 crisis
Economy

US poised to dial back bank rules imposed in wake of 2008 crisis

Last updated: May 14, 2025 10:10 pm
Share
US poised to dial back bank rules imposed in wake of 2008 crisis
SHARE

The Trump administration is making moves to cut banks’ capital requirements in what could be one of the biggest changes in over a decade. The Supplementary Leverage Ratio (SLR) is set to be reduced, a rule that mandates big banks to hold a certain amount of high-quality capital against their total leverage. This rule was put in place in 2014 after the financial crisis to prevent another economic collapse.

Bank lobbyists have been pushing for this change, arguing that the current rule penalizes banks for holding low-risk assets like US Treasuries and hinders their ability to facilitate trading and extend credit. They believe that easing the SLR rule would allow banks to support market liquidity during times of stress.

Critics, however, are concerned about the timing of this decision, given the recent market volatility and policy changes under the Trump administration. Some experts believe that relaxing capital standards at this time could pose risks to the economy and the stability of banks.

Despite the criticism, leading policymakers like US Treasury Secretary Scott Bessent and Federal Reserve Chair Jay Powell have expressed support for easing the SLR rule. They believe that this change could benefit the Treasury market and help reduce borrowing costs.

The biggest eight US banks are currently required to have tier one capital worth at least 5% of their total leverage. This is higher than the standards set for European, Chinese, Canadian, and Japanese banks. Lobbyists are hoping that the US will align its leverage ratio requirements with international standards.

One option being considered is to exclude low-risk assets like Treasuries from the leverage ratio calculation, which could free up balance sheet capacity for US banks. However, this move could make the US an international outlier and prompt similar requests from banks in other regions.

See also  Private equity firms overhaul exit strategies as IPO market slams shut

While the Fed, the Office of the Comptroller of the Currency, and the Federal Deposit Insurance Corporation have not commented on these potential changes, it is clear that the Trump administration is pushing for deregulation in the banking sector. Only time will tell how these changes will impact the financial industry and the overall economy.

TAGGED:BankcrisisDialimposedPoisedrulesWake
Share This Article
Twitter Email Copy Link Print
Previous Article TikTok Trend Has Men Shaving Their Eyelashes TikTok Trend Has Men Shaving Their Eyelashes
Next Article Maryland man Eugene Gligor pleads guilty to killing ex-girlfriend’s mother Maryland man Eugene Gligor pleads guilty to killing ex-girlfriend’s mother
Leave a comment

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

Popular Posts

PSA: You shouldn’t upload your medical images to AI chatbots

Why You Should Think Twice Before Uploading Your Medical Data to an AI Chatbot Before…

November 19, 2024

The science behind a better night’s sleep

Having a good night's sleep is crucial for maintaining both mental and physical health. Sleep…

February 3, 2025

Frances Bean Cobain and Riley Hawk Take Newborn Son to Pumpkin Patch

Frances Bean Cobain and her husband Riley Hawk were spotted enjoying a day out with…

October 8, 2024

Donald Trump Faces Picks ‘Deep State’ Conspiracy Nut to Head FBI

Controversial Figure Kash Patel Testifies in Trump-Related Legal Cases Throughout his career, Kash Patel has…

December 1, 2024

This Brain Procedure Could Save Your Life- Learn More On World Stroke Thrombectomy Day

May is National Stroke Awareness Month, a time when we must draw attention to the…

May 15, 2025

You Might Also Like

Netflix Exploring Warner Bros. Discovery Bid, Hires Bank for M&A Offer
Entertainment

Netflix Exploring Warner Bros. Discovery Bid, Hires Bank for M&A Offer

October 31, 2025
Fresnillo signs agreement to acquire Probe Gold for 8m
Economy

Fresnillo signs agreement to acquire Probe Gold for $558m

October 31, 2025
Market analysts react to Trump-Xi meet
Economy

Market analysts react to Trump-Xi meet

October 31, 2025
29 truck carrier files Chapter 11
Economy

29 truck carrier files Chapter 11

October 31, 2025
logo logo
Facebook Twitter Youtube

About US


Explore global affairs, political insights, and linguistic origins. Stay informed with our comprehensive coverage of world news, politics, and Lifestyle.

Top Categories
  • Crime
  • Environment
  • Sports
  • Tech and Science
Usefull Links
  • Contact
  • Privacy Policy
  • Terms & Conditions
  • DMCA

© 2024 americanfocus.online –  All Rights Reserved.

Welcome Back!

Sign in to your account

Lost your password?