The financial stability implications of a potential failure by the Congress to increase the national debt limit “in a timely manner” was one of the topics addressed Thursday at the meeting of the Financial Stability Oversight Council (FSOC), the Treasury said.
Chaired by Treasury Secretary Janet Yellin, the FSOC is an inter-agency group which includes among its 15 voting and non-voting members leaders of the federal financial institution regulators. The group meets at least quarterly to identify risks to the financial stability of the U.S.
The Treasury said the FSOC also heard a staff presentation by the Federal Reserve Bank of New York on commercial real estate, including market trends, current market conditions, the exposures of various financial sectors to commercial real estate, and potential risks.
The group also received an update from staff regarding ongoing interagency efforts to develop the FSOC report to be issued under the President Joe Biden’s (D) executive order on climate-related financial risk.
Among those federal financial institution regulatory agency leaders at the meeting, according to Treasury, were: Jerome H. Powell, chair, Federal Reserve Board; Michael J. Hsu, acting comptroller of the currency (Office of the Comptroller of the Currency (OCC)); Dave Uejio, acting director, Consumer Financial Protection Bureau (CFPB); Jelena McWilliams, chairman, Federal Deposit Insurance Corp. (FDIC); Todd M. Harper, chairman, National Credit Union Administration (NCUA).