Insight

Washington Report 360 | January 8, 2021

COVID-19 relief; SBA PPP; Congress approved NDAA; CFPB recommendations to improve consumer protections; Focus on digital asserts;

Amy S. Matsuo

Amy S. Matsuo

National Leader, Regulatory Insights, KPMG US

+1 919-244-0266

Key Highlights

  • The Consolidated Appropriations Act, 2021 became law on December 27, 2020, including certain COVID-19 relief and response measures such as reactivating the PPP and terminating certain FRB emergency credit programs.
  • SBA released interim final rules and other guidance to implement reactivation of the PPP; more guidance is yet to come.
  • Congress voted to override the President’s veto of the National Defense Authorization Act, enacting provisions that comprehensively amend the BSA/AML/CFT frameworks, including reporting and data repository requirements for beneficial ownership information. 
  • A CFPB Taskforce on Consumer Financial Law published a report of 100 recommendations for improving consumer protections, including one suggestion that the CFPB license non-depository financial companies; OCC released a statement agreeing that fintech firms require a national charter but stating the OCC should be the licensing agency.
  • Focus on digital assets seen in releases from OCC, SEC, and FinCEN.
  • Shift to the Biden Administration and Democratic control of Congress will likely focus financial services regulators on increased enforcement, climate risk-related policies, and expanded access to the financial system; rulemakings not yet effective may be halted or delayed, and the Congressional Review Act may be used to nullify rulemakings finalized in the last few months.

Financial services regulatory and policy news

Banking

  • Federal banking agencies (FRB, OCC, FDIC):
    • Extended temporary relief under Regulation O and the FDIC’s Part 363 for extensions of credit to certain investment funds
  • FRB:

Capital Markets

Other

Industry news headlines


Related content