WASHINGTON (AP)—The Trump administration is proposing to curb the authority of the consumer finance watchdog created following the economic crisis as it drives toward easing restrictions on banks and financial institutions.
The Treasury Department issued Monday the first part of a review that was ordered by President Donald Trump in one of his earliest acts as president.
The report reviewing the Dodd-Frank financial oversight law also urges changes to rules for banks that were put in place under the 2010 law. The law aimed to restrain banks—which received hundreds of millions in taxpayer bailouts—from the kind of misconduct that many blamed for the crisis.
The law was enacted by President Barack Obama and Democrats in Congress to tighten regulation after the 2008-09 financial crisis that sparked the Great Recession that cost millions of Americans their jobs and homes.
Trump, however, has called Dodd-Frank a “disaster” that has crimped lending, hiring and the overall economy. He promised to do “a big number” on it.
“Properly structuring regulation of the U.S. financial system is critical to achieve the administration’s goal of sustained economic growth, and to create opportunities for all Americans to benefit from a stronger economy,” Treasury Secretary Steven Mnuchin said in a statement Monday.
The report outlines what it calls core principles of financial regulation — including overhauling the Consumer Financial Protection Bureau and having more “efficient” bank rules.