December 21, 2015
The failure to provide the CFTC even a modest increase in the fiscal year 2016 budget agreement sends a clear message that meaningful oversight of the derivatives markets, and the very types of products that exacerbated the global financial crisis, is not a priority.
The CFTC’s appropriation simply doesn’t match our vast responsibilities, especially as the markets we oversee have grown enormously in size, importance and technological complexity. They are critical to commercial businesses, and profoundly affect the prices all Americans pay for many goods and services in our daily lives.
The CFTC’s hardworking staff has diligently implemented the directives of Congress to reign in excessive risk in the swaps market. We are also making sure commercial end-users who didn’t cause the crisis can continue to use these markets effectively. But sensible regulation requires resources, and strong rules are meaningless unless they can be enforced properly.
While passing the federal budget was an important step forward, and it’s appropriate that the SEC received an increase, I am deeply disappointed that Congress and the Administration couldn’t find even a small increase for the agency’s critical work in a budget of $1.1 trillion.
Last Updated: December 21, 2015