20231113 US Chamber Coalition Letter on Basel III Federal Reserve
November 14, 2023
Washington, D.C. — Today, the U.S. Chamber of Commerce led a coalition letter with 17 national trade and industry associations urging federal banking regulators to repropose their bank capital standards only after conducting and disclosing a more thorough review of their impacts on consumers, businesses of all sizes and sectors, and the U.S. economy.
“Main Street businesses are the backbone of our economy and rely on affordable access to capital provided by American banks to start, run, and grow their businesses,” said U.S. Chamber Executive Vice President and Chief Policy Officer Neil Bradley.
“The Federal Reserve Board’s proposal to increase bank capital requirements will have the opposite effect, ultimately reducing financing options at a time when businesses are already facing historic challenges from government overregulation. The U.S. Chamber of Commerce and our industry partners are committed to preventing the implementation of higher capital requirements that will hurt Main Street businesses and the communities that rely on them.”
A recent survey of over 300 corporate treasurers conducted by the U.S. Chamber of Commerce found that 87% of U.S. businesses reported negative effects from regulatory-related cost increases. Sixty-eight percent of respondents believe that proposed increases in capital requirements under Basel III would be damaging to their business.
The Chamber’s coalition letter represents the concerns of a broad and diverse cross-section of American business opposed to the negative impacts higher bank capital requirements would have on the U.S. economy. Joining the Chamber in voicing their concerns are business representatives of American small business owners, equipment manufacturers, insurers, retailers, financial professionals, and farmers.
The U.S. Chamber’s Protect Main Street Lending campaign will advocate against the proposed capital standards throughout the end of 2023 and into 2024 using a combination of paid advertisements both nationally and in select states and also includes a large grassroots effort to raise the issue on Capitol Hill. More information about the campaign is available on U.S.chamber.com.