The US House of Representatives is planning to use its current session – running to November 2022 – to reintroduce the Financial Transparency Act (FTA).
According to the Financial InterGroup, the FTA will amend financial services laws to make data reported to financial regulators electronically searchable and to further allow the development of RegTech and AI applications.
The organisation claimed the legislation is intended to path the United States on a path towards a ‘comprehensive, standardised and harmonised reporting framework’ that can aid in reducing the compliance burden in the private sector, as well as boosting accountability and transparency.
The FTA was originally introduced to the House last year and called for a legal entity identifier (LEI). A LEI is a unique global identifier for legal entities participating in financial transactions.
However, the bill failed to give backing to a global LEI – despite the idea being initiated by US regulatory agencies and endorsed by leading financial industry trade associations.
Elsewhere in US politics, the House recently passed a bill that would create a cyber diplomacy office at the US State Department and boost US influence in global cyberspace.
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