Ex-FDIC Chief Bair Criticizes Bank Rules for Adding Complexity
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Updated rules to govern banking after the financial crisis are creating complexity and encouraging lenders to contemplate bailouts, according to Sheila Bair, former chairman of the Federal Deposit Insurance Corp.
“The rules themselves are making the industry more complex, not less,” said Bair, who led the regulator from 2006 to 2011. “The stress tests are really overtaking, they’re dominating the mindset and focus of bank boards and their executives, as well as the supervisors.”