The Federal Deposit Insurance Corporation (FDIC) Board of Directors has released the latest semiannual update on the Restoration Plan for the Deposit Insurance Fund (DIF), with staff projections indicating the DIF reserve ratio remains on track to reach the statutory minimum of 1.35 percent ahead of the September 30, 2028 deadline. Since the prior semiannual update, the reserve ratio increased by 6 basis points, from 1.22 percent as of June 30, 2024 to 1.28 percent as of December 31, 2024, reflecting growth in the DIF balance and slower-than-average insured deposit growth. The Federal Deposit Insurance Act requires the FDIC Board to adopt a restoration plan when the reserve ratio falls below 1.35 percent, and the current plan was established on September 15, 2020 after extraordinary deposit growth in the first half of 2020 pushed the ratio below the statutory minimum.
Federal Deposit Insurance Corporation 2025-05-20
Federal Deposit Insurance Corporation releases semiannual update projecting Deposit Insurance Fund reserve ratio to reach 1.35 percent before September 30 2028
The FDIC Board released its semiannual update on the Restoration Plan for the Deposit Insurance Fund (DIF), projecting the reserve ratio will reach the statutory minimum of 1.35% before the September 2028 deadline. The reserve ratio increased from 1.22% to 1.28% in the second half of 2024, due to DIF balance growth and slower insured deposit growth. The current restoration plan began in September 2020 after extraordinary deposit growth reduced the ratio below the required threshold.