Lael Brainard, President Joe Biden’s nominee for the Federal Reserve’s No. 2 spot, said Thursday that the Federal Reserve would not pressure banks not to lend to fossile fuel companies or other sectors targeted by the environmental left.
The notion that the Fed should push a climate change agenda through its bank supervision powers has gained popularity in the Democratic Party, especially among politicians associated with the so-called Green New Deal.
Pressed on the issue by Republicans on Thursday, Brainard rejected the idea.
From the Associated Press:
Several Republican senators expressed concern that the Fed might increasingly take account of climate change in its policymaking and use its supervisory authority over banks to discourage them from lending to oil and gas companies.