The Peterson Institute for International Economics (PIIE) hosts Martin J. Gruenberg, chairman of the Federal Deposit Insurance Corporation (FDIC) Board of Directors, on June 22, 2023. Gruenberg provides remarks on how strong, high-quality capital is essential to fostering resilience in the banking sector through economic cycles and periods of stress. Finalizing the Basel III standards in the United States continues to be a top priority for the FDIC and the other federal banking agencies. Gruenberg describes why it is critical for the US banking system to build on the improvements in the quality and quantity of capital requirements made in the wake of the 2008 global financial crisis and reduce the excessive variability of risk-weighted assets, limit reliance on internal models, and address weaknesses following the global financial crisis.
A Q&A with PIIE president Adam S. Posen follows.