Greenspan: Financial overhaul to have 'significant impact' on economic growth

Former Federal Reserve Chairman Alan Greenspan said the financial overhaul enacted in July will have a "significant impact" on economic growth, taking years to fully implement.

Regulators are beginning to draft hundreds of rules in the broadest effort to revamp the financial system since the 1930s.

"It is going to take years to address the unprecedented complexity of final rulemaking required in the massive Dodd-Frank bill," Greenspan wrote in an op-ed in the Financial Times. "The inevitable uncertainty engendered will inhibit financial innovation and intermediation, and render the rules that will govern a future financial marketplace disturbingly conjectural."

"This is bound to have a significant impact on economic growth," Greenspan wrote. "Business planners must now confront a much wider set of scenarios that could affect the profitability of contemplated long-term commitments. This wider set, of necessity, increases risk premiums on illiquid assets."