MNI BRIEF: Barr Expects To Say More About SLR Review Next Year

Federal Reserve Vice Chair for Supervision Michael Barr told lawmakers Tuesday he expects to be able to say more about the Fed's holistic examination of capital and liquidity regulation sometime early next year, later than previously suggested months ago.

"We are conducting that review now. We are in the middle of that. I expect that early next year we'll be able to say more about where we are in that process," he said on Capitol Hill. "If any of these parts of the review require us to rethink a rule like the eSLR, the capital countercyclical capital buffer and the like. We would of course seek public comment as part of that process."

The Fed has signaled it will consider permanently excluding reserves from the SLR denominator as part of a broader review of the capital framework. (See: MNI: Fed To Press Ahead With QT Amid Liquidity Concerns)