Treasury Secretary Scott Bessent called for the Senate Banking Committee to hold a markup on reforms to the federal deposit insurance system, throwing momentum behind a push that has divided the banking sector.
The public push comes just as the committee shifts into a higher gear on deposit insurance changes behind the scenes. Staff is circulating new text of certain changes, and committee leaders have sought input from Treasury and the Federal Deposit Insurance Corp.
Speaking to a conference on community banking hosted by the Federal Reserve this morning, Bessent touted deposit insurance reform as one way among several to support smaller U.S. banks. His comments toward the Senate Banking Committee were more direct than we’ve heard before.
