Frank Statement on Attending the World Economic Forum
Today, House Financial Services Committee Chairman Barney Frank (D-MA) released the following statement:
“This week, I will attend the World Economic Forum in Davos, Switzerland. The main purpose of my trip will be to talk with financial services regulators from other countries to coordinate our efforts to update and modernize financial regulations. The objections to tough restrictions in the United States are that it will put American businesses in a disadvantaged position and financial companies will take their operations to friendlier shores. I believe this is wrong, and, in fact, since becoming chairman of the Financial Services Committee, I and other American officials have been working with others to prevent this situation from arising. The Obama administration has correctly put a high priority on coordination with the major economies from around the world.
“The World Economic Forum is a gathering of virtually every regulatory official from the world’s major economies, as well as figures from the private sector and organized labor. My major goal this week is to further our efforts at cooperation and work to prevent any national regulatory approaches that allows companies to dodge the kind of accountability and responsibility that is needed. In fact, in the legislation passed by the House of Representatives, which I expect to become law, we put in provisions to deny access to our financial system to any nation that holds itself out as an escape hatch to any financial company or financial activity. Combined with our coordination efforts with the European Union, United Kingdom, Japan, Canada, and other major economic powers, I am confident we can create a situation in which we can impose appropriate tough regulation without fear of a loss of business to, or a destabilizing effect from, nations that will not join us.”