The Federal Deposit Insurance Corporation (FDIC) has published its 2019 Risk Review, which officials said highlights emerging risks and exposures in the banking system.
“The FDIC is committed to transparency and accountability, and the publication of our 2019 Risk Review provides an opportunity for us to communicate data and our analysis on key risks facing the banking system,” FDIC Chairman Jelena McWilliams said.
Financial institutions, policymakers, analysts and regulators will find the publication of particular interest, the FDIC said, adding the most recent edition of Risk Review provides a summary of conditions in the U.S. economy, financial markets, and banking industry while also presenting critical risks to banks in two broad categories: credit risk and market risk.
The credit risk areas discussed in the document are agriculture, commercial real estate, energy, housing, leveraged lending and corporate debt and nonbank lending while the market risk areas discussed are interest rate risk and deposit competition and liquidity.
The FDIC insures deposits at the nation’s banks and savings associations, totaling 5,362 as of March 31, 2019, and promotes the safety and soundness of institutions by identifying, monitoring and addressing risks to which they are exposed.