GFMA provides comments to the U.S. Board of Governors of the Federal Reserve System on a proposed rule, Enhanced Prudential Standards and Early Remediation Requirements for Foreign Banking Organizations (FBOs) and Foreign Nonbank Financial Companies; Docket No. R−1438; RIN 7100 AD 86.
GFMA recognizes that the profile of the U.S. operations of some FBOs has changed substantially in recent years and understands the Federal Reserve’s concerns about the financial stability risks that global financial institutions can pose to host country financial systems. However, GFMA believes that the proposed rule will exacerbate, rather than mitigate, these financial stability risks and harm the global economy.
