Fed's Kashkari: Keep Dodd-Frank regulations in place for big banks

Minneapolis Fed President Neel Kashkari speaks during an interview at Reuters in New York February 17, 2016. REUTERS/Brendan McDermid

WASHINGTON (Reuters) - Minneapolis Federal Reserve Bank President Neel Kashkari said on Wednesday that there should not be any relaxation of regulations that have tightened oversight of Wall Street.

“Progress has been made. I wouldn’t want to roll that back off the biggest banks,” Kashkari said at an event in Minneapolis, when asked about the fate of the Dodd-Frank reform act that was passed in part to prevent big banks from causing a repeat of the 2007-2008 financial crisis.

“I do want to roll back some of that ... off of the little banks that are not systemically risky for the country that are being caught up in the same regulatory net,” he added.

Last year, Kashkari proposed forcing banks to hold much more capital in order to make them safer and avoid taxpayer bailouts in the event of another financial crisis.

So far his plan has gained few backers, despite his giving speech after speech defending and explaining it. The Trump administration has instead signaled its intent to roll back at least parts of Dodd-Frank.

Reporting by Lindsay Dunsmuir; Editing by Meredith Mazzilli