Fed extends comment period for foreign bank oversight proposal

Fri Feb 22, 2013 5:05pm GMT

A view shows the Federal Reserve building on the day it is scheduled to release minutes of the Federal Open Market Committee from August 1, 2012, in Washington August 22, 2012. REUTERS/Larry Downing

A view shows the Federal Reserve building on the day it is scheduled to release minutes of the Federal Open Market Committee from August 1, 2012, in Washington August 22, 2012.

Credit: Reuters/Larry Downing

(Reuters) - The Federal Reserve is giving the public and financial firms an additional month to comment on a proposal that would subject foreign banks to tough new capital and liquidity requirements.

Comments are now due on April 30, the Fed said in a statement on Friday.

The rules, which were proposed in December, would force foreign banks to group all their subsidiaries under a holding company, subject to the same capital standards as U.S. holding companies. The biggest banks will also need to hold liquidity buffers.

The Fed said it was extending the comment period "due to the range and complexity of the issues addressed in the rulemaking."

(Reporting by Karey Wutkowski; Editing by Lisa Von Ahn)