Fed reportedly ready to change more banking regulations

The U.S. Federal Reserve building in Washington, D.C.

The Federal Reserve is expected this week to vote on standards that would change the way big banks are regulated, according to a Dow Jones report.

Under the plan, banks would be divided into categories based on risk factors including size, international activity, off-balance sheet exposures and levels of short-term funding.

In addition, the rules would change the asset thresholds for certain levels of risk scrutiny for “advanced approaches capital rules.” The levels would rise to $700 billion assets from $250 billion and $75 billion in cross-border activity from $10 billion, according to the report, which cites sources familiar with the Fed’s thinking.

The moves are expected to be voted on Wednesday and come as Congress looks to loosing the reins on banking regulation following the post-financial crisis reforms.

Fed officials did not immediately respond to a request for comment.

[“source=TimeOFIndia”]