This includes a new regulator to oversee the entire financial system in a bid to restrain behaviour that led to the worst credit crisis since the 1930s.

In testimony to Congress, Mr Geithner said 'comprehensive reform' was needed to guard against future crises.

'Not modest repairs at the margin, but new rules of the game.'

He pressed lawmakers for wholesale changes, including the creation of a single regulator to keep tabs on risks that could threaten the entire financial system.

Under the plan Mr Geithner laid out in testimony to the House of Representatives Financial Services Committee, one entity would be responsible for ensuring systemic stability over major institutions and critical payments and settlement systems.

Currently, a hodge-podge of regulators controls differing parts of the banking system and some participants in insurance and other sectors largely fall between the regulatory cracks.

Mr Geithner said he thought the government could do 'a lot' to institute regulatory reform without requiring new legislative authority.

He said it was important to get started now.

'We have a moment of opportunity now. We don't want to waste this opportunity,' Mr Geithner said.

'We need to act.' -- REUTERS