FOR IMMEDIATE RELEASE
March 22, 2018
McConnell Proposal on Coronavirus Crisis Falls Far Short
Statement from Americans for Financial Reform:
This major crisis demands a massive and swift response, but it must focus first on health care, and then on easing the burdens on everyday people, communities, and small businesses who are hardest hit. The McConnell proposal falls far, far short of what the situation demands.
The legislation includes a new, historically large bailout program for private industry under the personal direction of the Secretary of the Treasury, and with totally inadequate accountability measures. There is every reason to fear that, under this proposal, money would be siphoned off by wealthy executives and corporations without reaching workers, and that the administration will put Wall Street in the driver’s seat.
It does nothing to stop foreclosures and evictions, or to halt debt collection, wage garnishment or car repossessions. It offers paltry relief for some student borrowers who are facing a crushing cash flow crisis. It does not do enough for small businesses. And it fails to mandate credit assistance for the states and localities on the front lines of fighting the pandemic, even though municipal finance markets are collapsing.
For more detail on AFR’s recommendations on the financial regulatory response to the coronavirus crisis, click here.