US branches of foreign banks shed $91 billion of reserves in 2018

Drop-off coincides with Fed’s ‘normalisation’ strategy

The branches of the largest foreign banking organisations (FBOs) in the US have cut their Federal Reserve balances by around 20% since the central bank began shrinking its balance sheet in late 2017.

The combined reserves of the branches of 21 FBOs stood at $360 billion at end-2018, making up around 24% of the total excess reserves held at the Fed.

This is down $91 billion since end-September 2017, when branch reserves made up 21% of excess reserves. The Fed began to normalise its balance

Only users who have a paid subscription or are part of a corporate subscription are able to print or copy content.

To access these options, along with all other subscription benefits, please contact info@risk.net or view our subscription options here: http://subscriptions.risk.net/subscribe

You are currently unable to copy this content. Please contact info@risk.net to find out more.

Sorry, our subscription options are not loading right now

Please try again later. Get in touch with our customer services team if this issue persists.

New to Risk.net? View our subscription options

Most read articles loading...

You need to sign in to use this feature. If you don’t have a Risk.net account, please register for a trial.

Sign in
You are currently on corporate access.

To use this feature you will need an individual account. If you have one already please sign in.

Sign in.

Alternatively you can request an individual account here