Newsletter Newsletters Events Events Podcasts Videos Africanews
Loader
Advertisement

U.S. Congress votes to ease banking restrictions

Lehman Brothers collapsed at the height of the financial crisis in 2008
Lehman Brothers collapsed at the height of the financial crisis in 2008
Copyright 
By Mark Armstrong
Published on
Share Comments
Share Close Button
Copy/paste the article video embed link below: Copy to clipboard Copied

Critics fear the move will lead to a repeat of reckless lending by bankers

The U.S government has moved a step closer to easing restrictions on banks introduced after the financial crisis. The tighter regulations, known as Dodd-Frank, were brought in to increase oversight in the sector to avoid a repetition of the events like the collapse of Lehman Brothers.

But critics, including President Trump, argued that the law was too complex and restrictive and prevented growth. They also argued that it put smaller banks at a disadvantage and discouraged lending.

The move to repeal the legislation won bipartisan support and now Congress has voted in favour, it only remains for the president to sign it into law.

The House of Representatives voted 258-159 to approve the measure.

Those against repeal argue that it could lead to a return of reckless behaviour by lenders.

Go to accessibility shortcuts
Share Comments

Read more

US government shutdown enters 40th day as senators work through the weekend to find breakthrough

Trump administration says War Powers Resolution does not apply to boat strikes in the Caribbean Sea

Shutdown showdown: US government remains closed for now