BUSINESS

Fed Chairman Ben Bernanke: Big Banks Need 'More-Stringent' Rules

05/11/2011 05:46 pm ET | Updated Jul 11, 2011

WASHINGTON - Larger financial firms should face more onerous regulatory requirements to make sure they can withstand turbulence in economy or credit markets, Federal Reserve Chairman Ben Bernanke will say on Thursday.

In copy of his Congressional testimony obtained by Reuters on Wednesday, Bernanke said the U.S. central bank was aiming to keep international standards as consistent as possible to ensure that no big firms fall through the cracks and guarantee a level playing field.

"Federal Reserve is developing more-stringent prudential standards for large banking organizations and nonbank financial firms" designated by a council of top regulators, Bernanke said in prepared remarks that did not directly touch upon the economy or monetary policy.

(Reporting by Dave Clark; Writing by Pedro Nicolaci da Costa; Editing by Diane Craft)

Copyright 2011 Thomson Reuters. Click for Restrictions.

Suggest a correction