JPMorganChase Warns Proposed Capital Rules Could Stifle Small Business Growth

Small businesses are the backbone of the American economy, creating jobs and driving local growth. As the leading lender to small businesses, JPMorganChase serves over seven million entrepreneurs across the country.

The bank's team at Chase for Business hears daily from small business owners about the impact of access to capital on their operations. It can mean opening a new location, investing in equipment, or making payroll during slow months.

Credit rules governing how banks lend and hold capital against loans have a significant effect beyond bank balance sheets. They determine whether credit is available, affordable, and flexible enough for small businesses to grow.

JPMorganChase supports strong capital standards that make the banking system more resilient, protect customers, and allow banks to lend during times of stress. However, recent changes to the Basel III Endgame and Global Systemically Important Bank (GSIB) surcharge frameworks may inadvertently increase lending costs or reduce access to credit for small businesses.