Congress asked the Fed chief about marijuana banking: ‘It would be nice to have clarity’

From: CNBC

  • Asked about the Fed’s thoughts on the cannabis space, Chair Jerome Powell says further regulatory guidance would be helpful.
  • “I think it would be great to have clarity,” Powell says. “It puts financial institutions in a very difficult place and puts the supervisors in a difficult place, too.”
  • Marijuana remains illegal on a federal level in the United States, but 10 states and the District of Columbia have allowed its use for recreational purposes.

Federal Reserve Chairman Jerome Powell said before the U.S. Senate Tuesday that conflicting federal and state laws on the sale of marijuana and other cannabis products put bank supervisors in a “very difficult place.”

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“I think it would be great to have clarity,” Powell said from Capitol Hill. “It puts financial institutions in a very difficult place and puts the supervisors in a difficult place, too. It would be nice to have clarity on that supervisory relationship.”

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