Washington, D.C. (March 21, 2023) — Independent Community Bankers of America (ICBA) President and CEO Rebeca Romero Rainey today issued the following statement on today’s remarks from Treasury Secretary Janet Yellen.
“Today’s remarks from Treasury Secretary Janet Yellen that Treasury is committed to ensuring the ongoing health and competitiveness of the vibrant community banking system reflects ICBA’s calls for policymakers to ensure deposit insurance policy does not pick winners and losers in the banking system. Yellen’s remarks recognize that if policymakers decide to provide unlimited deposit insurance to some institutions, they cannot leave others out—certainly not the community banks that have, as always, operated on a safe and sound basis.
“Depositors’ funds remain secure in community banks because these institutions are vested in their communities, promoting financial stability and prosperity on Main Street. Community banks are vastly different from the nation’s largest and riskiest banks due to their time-tested business model, which is based on relationships and trust with their customers and communities, and they remain strong and resilient. As small businesses themselves, local community banks take pride in serving the unique needs of their customers and communities.
“ICBA and community bankers will continue working with Treasury Secretary Yellen and other policymakers to ensure Washington’s response to recent closures at large, risky banks does not affect the community banks that continue to do right by their customers, does not reward risky behavior at large financial institutions, and ensures the long-term viability of a strong dual banking system.”
The Independent Community Bankers of America® creates and promotes an environment where community banks flourish. ICBA is dedicated exclusively to representing the interests of the community banking industry and its membership through effective advocacy, best-in-class education, and high-quality products and services.
With nearly 50,000 locations nationwide, community banks employ nearly 700,000 Americans and are the only physical banking presence in one in three U.S. counties. Holding more than $5.8 trillion in assets, over $4.8 trillion in deposits, and more than $3.5 trillion in loans to consumers, small businesses and the agricultural community, community banks channel local deposits into the Main Streets and neighborhoods they serve, spurring job creation, fostering innovation and fueling their customers’ dreams in communities throughout America. For more information, visit ICBA’s website at www.icba.org.