WASHINGTON (AP) — The Federal Reserve says it will restore capital requirements for large banks that were relaxed as part of the Fed’s efforts to shore up the financial system during the early days of the pandemic. The Fed said it will not extend the relief from what is called the supplementary leverage ratio past March 31. The easing of the regulation had been intended to give banks flexibility in what assets they could hold to meet regulatory’ requirements during the turmoil of the pandemic, when banks were having to suddenly write down billions of dollars of loans. Shares of the large Wall Street banks fell on the news.
Fed to end relaxed capital requirements for large banks
