April 6, 2020 / 1:17 PM / 2 months ago

Federal Reserve lowers community bank leverage ratio

FILE PHOTO: The U.S. Federal Reserve Board building on Constitution Avenue, Washington, U.S., March 19, 2019. REUTERS/Leah Millis

WASHINGTON (Reuters) - The Federal Reserve announced Monday it was lowering the community bank leverage ratio to 8%, which would gradually rise back to 9% by 2022.

The rule easing was ordered as part of a broad economic relief package approved by Congress in March. Under the new rules, the leverage cap will lower in the second quarter of 2020, rise to 8.5% in 2021, and return to its previous 9% level at the beginning of 2022.

Reporting by Pete Schroeder; Editing by Alison Williams

0 : 0
  • narrow-browser-and-phone
  • medium-browser-and-portrait-tablet
  • landscape-tablet
  • medium-wide-browser
  • wide-browser-and-larger
  • medium-browser-and-landscape-tablet
  • medium-wide-browser-and-larger
  • above-phone
  • portrait-tablet-and-above
  • above-portrait-tablet
  • landscape-tablet-and-above
  • landscape-tablet-and-medium-wide-browser
  • portrait-tablet-and-below
  • landscape-tablet-and-below