In a statement at an American Bankers Association conference, U.S. Treasury Secretary Scott Bessent mentioned plans for the Treasury to have a more significant role in banking regulation. He stressed the importance of balancing costs and benefits in order to facilitate lending for economic growth. Bessent advocated for sensible banking regulations that would reduce burdens, particularly on community banks faced with rules meant for larger institutions.

He explained that the Treasury's increased involvement in shaping bank regulation would be achieved through the Financial Stability Oversight Council and the President's Working Group on Capital Markets. Bessent emphasized the need for accountability and transparency in banking regulations that impact people's daily lives.

While specific changes to banking regulations or capital requirements were not detailed, Bessent assured that the Trump administration would review the capital buffer framework for large banks to ensure legal consistency and effectiveness as a safeguard. He underscored the importance of regulations being based on a clear statutory foundation, focusing on safety, risk mitigation, and consumer protection.

Additionally, Bessent highlighted the importance of tailored and fair regulation applied consistently across all entities. The Treasury aims to bring about a shift in the supervision culture by enhancing examination procedures, ensuring compliance by examiners, and establishing more objective criteria for determining what is deemed risky in financial terms.