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The Federal Reserve’s System of Reserve Banks
EEconomy

The Federal Reserve’s System of Reserve Banks

  • 10.06.2025

Keeping the Economy on Track

With input from each Reserve Bank president, the Fed adjusts interest rates and manages the money supply to balance inflation and job growth. This supports stable prices, which helps ensure the dollar in your pocket keeps its value, and full employment, which helps ensure that when you want a job one is available.

Ensuring Fast, Secure Payments

The Fed’s Reserve Banks support the payment system, from the physical circulation of cash and coin to digital systems. They keep money moving securely, from payroll direct deposits to online transfers. This helps ensure your paycheck arrives on time, your transactions are protected, and your funds are readily accessible as cash.

Fostering Financial Stability

With regional input from the Reserve Banks, the Fed watches out for financial system risks to help ensure the system supports a healthy economy. This helps protect the safety of your savings, your job, and your investments.

Supervising Banks

From some of the largest, most recognized, and most complex banks to very small community banks across the Reserve Bank Districts, the Fed monitors and examines regulated financial institutions to help ensure they comply with laws and rules. This helps protect your deposits and ensure banks remain available to provide important financial services in your community.

Strengthening Communities

Reserve Banks work to understand how economic conditions are impacting businesses, consumers and workers in urban, suburban, and rural communities across the country. They conduct research and share information on issues that expand economic opportunity, such as employment, access to credit, and small business. These efforts help strengthen economic conditions and financial wellbeing in your community.

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  • Federal Reserve System
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