The Basel III endgame: A conversation with Michael Barr

In July 2023, the Federal Reserve, the Office of Comptroller of the Currency, and the Federal Deposit Insurance Corporation published for comment proposed changes to bank capital standards that reflect standards, known as Basel III, crafted by the Basel Committee on Bank Supervision following the Global Financial Crisis. That proposal proved to be very controversial, drawing fire from banks and some members of Congress. Federal Reserve Chair Jay Powell and Michael Barr, the Fed’s vice chair for supervision, promised to make “broad and material” changes to the proposal.

On Tuesday, September 10, Vice Chair Barr previewed the regulators’ revised proposal and explained the next steps at the Hutchins Center on Fiscal and Monetary Policy. Following his remarks, Barr took questions from the Hutchins Center Director David Wessel and the audience.

Barr has been vice chair and a member of the Federal Reserve Board since July 2022. He was previously dean of the Gerald R. Ford School of Public Policy at the University of Michigan and served as assistant Treasury secretary for financial institutions in 2009-10. A Rhodes Scholar, Barr is a graduate of Yale Law School.

Viewer joined the conversation and asked questions in advance by emailing [email protected] or on X/Twitter @BrookingsEcon using the hashtag #Basel3.