Close Close

Regulation and Compliance > Federal Regulation

FDIC Spending Soars Amidst Bank Failures

Your article was successfully shared with the contacts you provided.

The board of directors of the Federal Deposit Insurance Corporation has approved a $4 billion operating budget for 2010, up 55% from $2.6 billion this year.

The hefty increase was made necessary by a rise in bank failures, the FDIC said. There were 25 bank failures in 2008 and 133 so far this year, it noted.

The budget includes $2.5 billion for bank receiverships, up from $1.3 billion this year, FDIC says.

The agency’s board also authorized 2010 staffing level of 8,653 employees, up from 7,010 in 2009. Almost all the additional staff will be hired on a temporary basis to help handle anticipated bank closings, according to FDIC.