Hill Announces FDIC’s 2025 Focus: A New Era of Innovation and Oversight

WASHINGTON – A new era of innovation and oversight is set to sweep the Federal Deposit Insurance Corporation (FDIC) as Travis Hill takes the helm as Acting Chairman. In a bold statement, Hill outlined his vision for 2025, emphasizing key areas where the FDIC will prioritize action.

Hill begins with a wholesale review of regulations, guidance, and manuals to ensure they promote economic growth. He advocates for an open-minded approach to fintech partnerships, including digital assets and tokenization. The Acting Chairman also plans to address growing technology costs for community banks.

Improving the bank merger approval process is another focus, with a goal of timely approvals that satisfy the Bank Merger Act. Hill proposes withdrawing problematic proposals from the past three years, such as those related to brokered deposits and corporate governance.

The supervisory process will be reevaluated to focus more on core financial risks, less on process. Hill also aims to enhance readiness for resolving large financial institutions, drawing lessons from recent costly failures.

Capital and liquidity rules are up for adjustment to balance economic growth with safety and soundness. Encouraging de novo activity and ensuring law-abiding customers retain access to banking services are also on the agenda. The Bank Secrecy Act will be modernized, and deposit behavior studied for a better understanding of stability.

Hill emphasizes transparency, internal efficiencies, and a strong workforce culture free from misconduct. He concludes by reiterating the FDIC’s commitment to serving as responsible stewards of the Deposit Insurance Fund.