Treasury Developing Global Tracking System For All Financial Transactions

At a speech today at the “The Macroprudential Toolkit: Measurement and Analysis” Conference held in Washington D.C., and hosted by the OFR and the Financial Stability Oversight Council, Treasury Secretary Geithner hinted at the global reach LEI will have:

The OFR will collect and make available, to regulators and to the public, more and better financial data.

It will seek to better measure and analyze factors affecting financial stability.

It will report to Congress and to the public on its analyses of significant market developments, potential threats to financial stability, and appropriate policy responses.

And it will collaborate with regulators, industry, the academic community, and foreign policymakers and institutions to establish global standards for financial data. The Legal Entity Identifier project, which precisely identifies the parties to financial transactions, will help regulators, risk managers, and market participants all better understand risks and exposures across the financial system. We are pleased that U.S. leadership has helped give a strong start to the LEI project, whose framework was recently endorsed by the G-20.

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