Executive Summary - First Quarter 2023
The attached report highlights the FDIC’s financial activities and results for the quarter ended March 31, 2023.
- During the first quarter of 2023, the Deposit Insurance Fund (DIF) balance decreased to $116.1 billion as of March 31, 2023, down $12.1 billion from the year-end 2022 balance of $128.2 billion. The quarterly decrease was primarily due to an increase in provision for insurance losses of $16.4 billion.
- The reserve ratio decreased to 1.11 percent, due to a 2.5% increase in insured deposits and the decrease in the DIF balance.
- During the first quarter of 2023, the FDIC was named receiver for 2 failed institutions. The combined assets at inception for these institutions totaled approximately $319 billion with a total estimated loss of $18.5 billion. The corporate cash outlay during the first quarter for these institutions was $28.8 billion. By statute, the FDIC is required to recover $15.8 billion attributable to the cost of covering uninsured deposits as a result of the systemic risk determination through one or more special assessments.
- Through March 31, 2023, overall FDIC Operating Budget expenditures were below the year-to-date budget by about $55.4 million, or nine percent. This was due to underspending of $67.7 million in the Ongoing Operations budget component, with spending below 90 percent of the YTD budget in every non-salary expense category. Receivership Funding expenditures exceeded the YTD budget by $10.8 million (96 percent), largely due to overspending for contractual services by both DRR and CISR in connection with the failures of Silicon Valley Bank and Signature Bank in March.