US Fed mulls basic changes to bank discount window, Bowman says

By Neil Roland ( March 3, 2026, 17:56 GMT | Insight) -- The US Federal Reserve is considering basic changes to its “underutilized” bank discount window and its inconsistent rules that create “uncertainty for borrowers,” said Michelle Bowman, the central bank’s vice chair for supervision. One consequence is that banks create buffers by hoarding high-quality liquid assets such as Treasuries rather than lending — reducing credit availability to the economy. “In addition, by increasing the demand for reserves, it also requires the Fed to maintain a larger balance sheet to meet that demand,” Bowman said.The US Federal Reserve is considering basic changes to its “underutilized” bank discount window and its inconsistent rules that create “uncertainty for borrowers,” said Michelle Bowman, the central bank’s vice chair for supervision....

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US Fed mulls basic changes to bank discount window, Bowman says

Prepare for tomorrow’s regulatory change, today

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