Federal Deposit Insurance Corporation
Federal Reserve Board
Office of the Comptroller of the Currency
For release at 2:30 p.m. EDT
The Federal Reserve System, commonly known as the Federal Reserve or simply “the Fed,” serves as the central bank of the United States. It was established by Congress to ensure a safer, more adaptable, and more stable monetary and financial framework for the nation. The Federal Reserve was founded on December 23, 1913, when President Woodrow Wilson enacted the Federal Reserve Act. Currently, the responsibilities of the Federal Reserve can be categorized into four primary areas.
The first area involves conducting the nation’s monetary policy by influencing the conditions of money and credit within the economy, aiming for full employment and stable prices.
The second area encompasses the supervision and regulation of banks and other significant financial institutions to guarantee the safety and soundness of the nation’s banking and financial system, as well as to safeguard the credit rights of consumers.
The third area focuses on maintaining the stability of the financial system and mitigating systemic risks that may emerge in financial markets.
Lastly, the fourth area includes providing specific financial services to the U.S. government, U.S. financial institutions, and foreign official entities, while also playing a crucial role in the operation and oversight of the nation’s payment systems.
