Bernanke: Fed To Unveil Banking Rules This Summer
WASHINGTON (AP) - Federal Reserve Chairman Ben Bernanke says the Fed will unveil new regulations this summer that would protect the U.S. economy from another meltdown of the nation's largest banks and financial companies.
Congress directed the Fed to write the rules when it passed last year's financial regulatory overhaul, in response to the 2008 financial crisis. The rules are likely to contain stricter capital requirements for the biggest banks, hedge funds and insurance companies whose failure could throw the financial sector into another crisis.
Bernanke says in testimony to the Senate Banking Committee the Fed will allow the public to comment on the rules before implementing them in January 2012.
Regulators are scrambling to implements hundreds of new rules, many required to be completed before the law's one-year anniversary on July 21.