Treasury Secretary Timothy Geithner on Monday will reaffirm the Obama administration's demands for a financial reform bill that provides strong protections for consumers and strong constraints on risk taking by big financial firms.
In excerpts of his prepared remarks before the American Enterprise Institute, a conservative-leaning Washington think tank, Geithner said failure to pass a meaningful reform bill would mean American firms would face a more balkanized global financial system with higher costs and higher risk, and the United States would no longer set global standards.
The test we face is whether we enact real reforms that provide strong protection for consumers, strong constraints on risk-taking by large institutions, and strong tools to protect the economy and taxpayers from future crises. We will not accept a bill that does not meet that test.
Geithner is due to make his speech later on Monday, shortly before the Senate Banking Committee is due to convene for a vote on the new rules for the financial sector.
(Reporting by David Lawder; Editing by James Dalgleish)