The three federal banking agencies on Tuesday issued a joint statement designed to encourage banks to use their capital and liquidity buffers to lend to customers. "These liquidity buffers were designed to provide banking organization with the means to support the economy in adverse situations," the regulators said. Regulators also amended a rule to stress that if a bank's capital declines by a certain amount, the agencies automatic distribution restrictions would be phased in gradually. Experts said that banks may still be reluctant to operate closer to the edge despite the encouragement from Washington.
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March 17, 2020 at 09:00PM
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U.S. regulators try to give banks more flexibility to make loans - MarketWatch
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