Bank Supervision: Lessons Learned from Remote Supervision During Pandemic Could Inform Future Disruptions, Report to Congressional Committees   [open pdf - 1MB]

From the Highlights: "Limitations on in-person meetings and travel because of the COVID-19 [coronavirus disease 2019] pandemic presented challenges to federal banking regulators conducting on-site examinations of depository institutions. The CARES Act [Coronavirus Aid, Relief, and Economic Security Act] includes a provision for GAO [Government Accountability Office] to monitor and oversee the federal government's response to COVID-19. This report examines how the federal banking regulators (1) identified and assessed risks and challenges the pandemic posed to their supervisory missions, (2) made changes to address these risks and challenges, and (3) assessed lessons learned from their pandemic responses. GAO reviewed the five agencies' policies and guidance, analyzed agencies' reviews of their performance during the pandemic, and interviewed officials. GAO also conducted 20 small-group interviews with nongeneralizable samples of between two and five groups of examiners from each agency (total of 110 examiners across the five agencies). [...] GAO is making two recommendations, including that the Federal Reserve develop and document steps and timeframes to include pandemic-related risks to supervision in its ERM [enterprise risk management] framework and that OCC [Office of the Comptroller of the Currency] review lessons learned from the pandemic to better prepare for future disruptions to examinations. The Federal Reserve neither agreed nor disagreed with GAO's recommendation and OCC said it would complete a review by March 2023."

Report Number:
Public Domain
Retrieved From:
Government Accountability Office: http://www.gao.gov/
Media Type:
Help with citations