By Pete Schroeder

WASHINGTON (Reuters] – Sarah Bloom Raskin was President Joe Biden’s nominee to be the Federal Reserve’s regulator.

Raskin stated in prepared testimony that she gave Wednesday to the U.S. Senate Banking Committee ahead of Thursday’s nomination hearing. She said that the position of vice-chair for supervision required wide consultation both within and outside the Fed about how banks can manage their risk.

However, this job doesn’t include telling banks where to lend. This is a counter argument to the accusations made by Republicans and industry groups that she may discourage banks investing in fossil fuels while at the Fed.

This role doesn’t include telling banks not to make loans to certain industries or to avoid loans to them. The role of the Federal Reserve is also governed by the federal laws that regulate it and their responsibilities,” she stated in her prepared testimony.

Raskin, who was a Fed governor before becoming a senior Treasury official under President Barack Obama is expected to push for more scrutiny of banks that when Randal Quarles (a Republican who resigned from the Fed in December) did.

Raskin prepared testimony and stated that 2008’s financial crisis showed bank supervisors need to be aware of risks, “no matter from where they are,” including cyberattacks as well as “cataclysmic weather events.”