U.S. Treasury Secretary Janet Yellen Continues Push for Marijuana Banking Reform: A Call for Legislative Action

During a recent House of Representatives Appropriations subcommittee hearing, U.S. Treasury Secretary Janet Yellen reiterated her firm endorsement of legislation such as the SAFE Banking Act, aimed at resolving the banking conundrum surrounding state-regulated cannabis businesses in the absence of federal legalization. In response to inquiries about her stance on the matter, Yellen emphasized the pressing need for legislative action to address this significant challenge.

"I consider it a genuine issue, and it would be advantageous to enact legislation that addresses this issue," remarked Yellen during the hearing, as reported by Reuters. Her comments underscore the gravity of the situation and the urgency for a viable solution.

The latest version of the marijuana banking bill, now rebranded as the SAFER Banking Act, cleared a critical hurdle by passing a markup hearing in the Senate Banking Committee in September. However, despite this milestone, the legislation has yet to advance to a full hearing on the Senate floor. Originally introduced in 2019, the SAFE Banking Act has been subject to ongoing deliberations and revisions in the legislative process.

Yellen's vocal support for marijuana banking reform echoes her previous statements on the subject. Back in 2022, the treasury secretary expressed frustration over the persistent delays in enacting meaningful cannabis banking reform. Her consistent advocacy reflects a deep-seated recognition of the obstacles faced by cannabis businesses operating within the current financial framework and underscores the imperative for comprehensive legislative measures to address these challenges effectively.