U.S. Treasury Secretary Scott Bessent warned during Senate testimony that economic stagnation itself poses a threat to financial stability. In remarks delivered on December 11, 2025, he criticized existing regulations for actively harming the growth they should be protecting, coining the phrase « the stability of the graveyard » to describe overly cautious regulation. Under his leadership, the Financial Stability Oversight Council (FSOC) has restructured its annual report around two pillars: growth and security, moving away from previous vulnerability assessments. Banks and financial institutions are expected to be the main beneficiaries of this doctrinal shift toward a pro-growth regulatory approach.
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