Fed Moves to Finalize Bank Capital Plan Tied to Treasuries
The US Treasury building in Washington.
Photographer: Samuel Corum/BloombergUS bank regulators have agreed on the terms for easing a set of capital requirements that lenders say limit their ability to hold more Treasuries, according to people familiar with the matter.
Officials from the Federal Reserve and other key agencies recently submitted a final plan for the so-called enhanced supplementary leverage ratio to the White House for review, said the people, who asked not to be identified discussing the matter. The eased requirements, which would mean the biggest banks have to hold less capital relative to total assets, are largely in line with a proposal unveiled in June.