Fed signals that big overseas banks won’t be getting Dodd-Frank relief

15 October 2018 7:19am
The US Federal Reserve sent its clearest signal yet that it intends to subject large foreign banks with US operations to the same stringent requirements that it does American banks of comparable size and complexity.

Fed regulatory chief Randal Quarles indicated the central bank’s intent in a single sentence last week as foreign banking organizations, or FBOs, pressed for relief from Dodd-Frank standards with the support of dozens of Republican lawmakers.

“We are not including any changes to the FBO regulatory scheme for FBOs with more than $250 billion in global assets as part of our implementation of tailoring mandated by the Act,” Quarles, the Fed vice chairman for supervision, told the Senate Banking Committee in written testimony.