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Treasury Secretary Bessent restructures FSOC to boost growth by cutting redundant regulations, sparking concern over systemic risk.
Treasury Secretary Scott Bessent is reshaping the Financial Stability Oversight Council (FSOC), created after the 2008 crisis, to prioritize economic growth by reducing what he calls excessive and duplicative financial regulations.
The council, now under Bessent’s leadership, will assess regulatory burdens on markets and institutions, launch working groups on market resilience, household financial stress, and AI in finance, and promote innovation while maintaining stability.
The shift reflects a broader administration effort to deregulate the financial sector, drawing criticism from lawmakers like Senator Elizabeth Warren, who warn that easing oversight during signs of financial stress could increase systemic risk.
El secretario del Tesoro Bessent reestructura FSOC para impulsar el crecimiento reduciendo las regulaciones redundantes, despertando preocupación por el riesgo sistémico.