Lockhart says lighter banking regulation appropriate in improved economy

[February 23, 2017]  ATLANTA (Reuters) - The improvement in the U.S. economy and better management at banks means it is appropriate for the regulatory "pendulum" to move towards a looser regulatory structure, Atlanta Federal Reserve bank president Dennis Lockhart said on Thursday.

Dennis Lockhart of the Atlanta Fed takes part in a panel convened to speak about the health of the U.S. economy in New York November 18, 2015. REUTERS/Lucas Jackson/File Photo

"The regulatory posture should be attentive to its context and the context now is far far better, and it is appropriate to make some adjustments...I do not think it is a mistake to see the regulatory pendulum swing," Lockhart said in what are his final scheduled remarks before retiring next week. The new administration of Donald Trump is considering various changes to the Dodd Frank law that tightened bank supervision after the 2007 to 2009 financial crisis.

(Reporting by Howard Schneider; Editing by Chizu Nomiyama)

[© 2017 Thomson Reuters. All rights reserved.]

Copyright 2017 Reuters. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.