Fed’s Bowman, Logan Signal Need for Discount Window Reform

Two Federal Reserve leaders suggested the central bank should assess how readily its emergency lending facility is able to address liquidity needs in the banking system.

The facility, known as the discount window, has come under scrutiny following a banking crisis in 2023 that included the failures of Silicon Valley Bank and Signature Bank.

Michelle Bowman

Photographer: Julia Nikhinson/Bloomberg

“When it comes to the next steps in liquidity reform, I think it is imperative that we tackle known and identified issues that were exposed during the banking stress in the spring of 2023,” Fed Governor Michelle Bowman said in prepared remarks Thursday at a ...