WASHINGTON -- Citicorp chairman John Reed endorsed the Fair Trade in Financial Services bill, reversing his bank's previous opposition to the measure.
In testimony before the Senate Banking Committee on Tuesday, Mr. Reed said he has been assured that the administration would protect U.S. trading partners -- including the members of the European Community -- who have given U.S. banks full access to their markets.
Moreover, Mr. Reed said, the Uruguay Round of trade talks are close to ending, with little prospect of progress, and the United States needs to maintain "appropriate leverage for obtaining those improvements in the future."
The bill would permit the Treasury to reject applications from financial services companies whose home countries do not treat U.S. institutions the same as their own companies.
