Key facts
- Federal Reserve Governor Michael Barr criticized recent efforts to relax rules for US lenders.
- Barr stated that these proposals would weaken bank regulation and supervision.
- He warned that such actions could lead to financial instability.
Federal Reserve Governor Michael Barr has criticized recent efforts by regulators to relax rules for U.S. lenders over the past year. Barr stated that these proposals would "considerably weaken bank regulation and supervision." He warned that such actions could court financial instability, suggesting a more cautious approach is needed to maintain the stability of the financial system.