Key Points
WASHINGTON, Nov 13 (Reuters) - A group of 39 Senate Republicans in a letter on Monday called on major U.S. banking regulators to withdraw a contentious proposal to significantly raise bank capital requirements, warning it could hinder lending and harm the economy...
Republicans have been consistently critical of the so-called "Basel III endgame" proposal, but Monday's letter marks one of the broadest, most explicit attempts so far to derail that effort, as lawmakers contend the proposal, if finalized, could curb banks' activity by forcing them to hold more capital.. * The Federal Reserve, Federal Deposit Insurance Corporation and the Office of the Comptroller of the Currency (OCC) proposed an overhaul to how banks gauge their risk, and in turn how much capital they must have as a cushion, in July..
* Senator Tim Scott, the top Republican on the Senate Banking Committee and a former presidential candidate, and Senate Minority Leader Mitch McConnell were among the senior Republicans in the chamber to sign Monday's letter...
U.S. banking regulators are due to testify before the Senate Banking Committee on Tuesday, when they are expected to be pressed on the proposal by Republicans...
