NEW YORK, Jan 20 (Reuters) – Citigroup CEO Jane Fraser said on Tuesday she does not expect Congress to approve caps on credit card interest rates as suggested by president Donald Trump.
“The president is right in focusing on affordability”, Fraser said during an interview to CNBC from Davos. “But capping rates would not be good for the U.S. economy”, she added. A rate cap would cut access to credit to a large part of clients in the U.S. and affect airlines, retailers and restaurants, she added. Asked about support in Congress for legislation limiting credit card rates, Fraser said she does not think there is bipartisan support for that.
After initiating a round of around 1,000 layoffs recently, Fraser said the bank has no intention of announcing new big headcount reductions.
(Reporting by Tatiana Bautzer, Editing by Franklin Paul)
