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US Fed’s Bowman calls for lower capital requirement for community banks

By Neil Roland ( August 15, 2025, 20:23 GMT | Insight) -- US Federal Reserve Governor Michelle Bowman, the Fed’s banking regulator, urged the central bank to consider lowering a capital requirement called the Community Bank Leverage Ratio from 9 percent to 8 percent and review its design. If reduced, the estimated percentage of community banks eligible to elect the CBLR framework would increase from 83 percent to 95 percent as of June 30, 2025.US Federal Reserve Governor Michelle Bowman, the Fed’s banking regulator, urged the central bank to consider lowering a capital requirement called the Community Bank Leverage Ratio from 9 percent to 8 percent and review its design....

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