On March 17, U.S. President nominated Federal Reserve Governor Michelle Bowman as the central bank's vice chair for supervision. Expected to prioritize relaxed rule-writing and bank oversight, the former community banker and a frequent critic would succeed Michael Barr. Trump expressed confidence in Bowman's capabilities, stating on social media, "Miki has the 'know-how' to get it done."
Bowman, if confirmed, will oversee the Fed's bank regulatory duties, including supervising and writing rules for major banks, while advocating for a transparent regulatory framework that fosters innovation. The banking industry and congressional Republicans welcomed her nomination, applauding her commitment to balanced regulatory policies.
Despite her limited experience with global banks, Bowman is set to become a prominent bank regulator nationally and internationally, given the Fed's oversight of major U.S. lenders. Her stance, differing from Barr's, emphasizes reduced capital requirements for big banks, aligning with her criticisms of Barr's rulemaking approach over the past year and a half.
Bowman's advocacy has influenced regulatory discussions, contributing to the stall on the "Basel III Endgame" rule and prompting discussions on improving the transparency of annual big bank "stress tests." Her diverse professional background, ranging from state bank commissioner to roles in banking and federal agencies, underpins her unique perspective on financial regulation.