United States Treasury Secretary Janet Yellen said on Friday that the world is facing "some serious economic headwinds", mostly due to the "lingering effects" of the COVID-19 pandemic and the war in Ukraine, but insisted the US financial system remains "resilient" amid the challenges.
Speaking at a Financial Stability Oversight Council (FCOS) meeting, Yellen noted that the US economy is resilient as a result of reforms implemented after the financial crisis of 2008.
The official added the FCOS has made progress on Treasury market reforms, mitigating vulnerabilities in non-bank financial resolution and addressing climate-related risks and risks related to digital assets and noted it will continue working on these issues. She stressed she expects "important developments" on Treasury market reforms next year and warned that crypto assets could pose a risk to the financial system, stressing it is important to enforce existing rules that cover digital assets.
