The U.S. Senate Committee on Banking, Housing and Urban Affairs published opening remarks by Chairman Tim Scott at a hearing on the Financial Stability Oversight Council’s annual report to Congress, framing financial stability as a prerequisite for “the year of affordability” and calling for systemic risk oversight to support economic growth, innovation and access to financial services. In his remarks, Scott praised Treasury Secretary Bessent’s leadership of FSOC and argued that the council had previously overemphasized a “climate agenda” by treating broad parts of the economy and financial system as vulnerabilities. He welcomed what he described as a refocus on household balance sheets and household financial resilience, urged reassessment of bank regulatory and supervisory frameworks to remove “undue burdens,” and highlighted the need for interagency coordination to avoid conflicting rules, duplicative supervision and “regulatory whiplash.” Scott also pointed to Treasury’s implementation of the GENIUS Act, describing it as a framework with potential to expand dollar dominance, increase global demand for US dollar-denominated assets such as U.S. Treasuries, reduce systemic risk and support growth and innovation.
U.S. Senate Committee on Banking, Housing and Urban Affairs 2026-02-05
U.S. Senate Committee on Banking, Housing and Urban Affairs chair urges FSOC to balance systemic risk oversight with affordability and growth
Chairman Tim Scott of the U.S. Senate Committee on Banking, Housing and Urban Affairs emphasized financial stability as essential for economic growth in his opening remarks at a hearing on the Financial Stability Oversight Council's annual report. He praised Treasury Secretary Bessent's leadership, criticized the council's past focus on climate issues, and advocated for reassessing bank regulations and enhancing interagency coordination to prevent conflicting rules and regulatory burdens.