Trump’s recruitment of watchdog chiefs impeded by talk of regulatory cuts

I spoke with the Financial Times about financial regulation and the new Trump administration.

From the article:

The Trump transition team’s questions, combined with enthusiasm from the Republicans due to run key committees on Capitol Hill for lightening the regulatory load, could herald the first serious effort to reshape the guardrails for the banking industry since the 2010 Dodd-Frank law.

“I think the Trump team might be serious about this,” said Bill Isaac, a former FDIC chair, adding that he has talked to leading Capitol Hill players about his proposal to merge the OCC and the supervisory functions of the Fed and FDIC into a new regulator. “The system is broken.”

[…]

Even Isaac said he opposed eliminating the FDIC as an independent agency because of its emergency bank takeover responsibilities.

“I don’t think that makes any sense,” he said. “The idea is to have the FDIC be an independent, bipartisan agency and the Treasury is anything but.”

Read the full article here.

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