Other proposals from the Fed
The Fed is proposing:
- Reduced capital, stress testing requirements for foreign banks
- Relaxing "living will" regime, allowing banks to submit plans for every two or three years
- Stricter liquidity requirements for foreign bank subsidiaries, seeks input on tougher liquidity rules for foreign bank branches
It is a bit give and take it seems on the surface. They relax a stress testing requirements for subsidiaries, but impose stricter liquidity rules on lenders that then rely on shorter term funding which can dry up easily in times of stress.
