US Low reserve tranche
US Low reserve tranche stood at 674.1 USD million on Jan 1, 2026, according to Federal Reserve Board of Governors (Regulation D). It is one of the indicators in the Reserve requirements table (Value · Daily), with a complete series running from Jan 14, 1982 to Jan 1, 2026. The complete series with an interactive chart, free to download.
This indicator in the Reserve requirements table
| Indicator | 01-01-2026 | 01-01-2025 | 01-01-2024 | 01-01-2023 | 01-01-2022 | 14-01-2021 | 16-01-2020 | 17-01-2019 | 18-01-2018 | 19-01-2017 | |
|---|---|---|---|---|---|---|---|---|---|---|---|
| DEPOSIT THRESHOLD DETERMINING RESERVE REQUIREMENT | |||||||||||
| Low reserve tranche | 674.1 | 645.8 | 644 | 691.7 | 640.6 | 182.9 | 127.5 | 124.2 | 122.3 | 115.1 | |
| Reserve exemption amount | 39.2 | 37.8 | 36.1 | 36.1 | 32.4 | 21.1 | 16.9 | 16.3 | 16 | 15.5 |
Understanding US Low reserve tranche
The absolute monetary limit used to demarcate the boundary between net transaction deposits subject to a lower reserve ratio and those subject to a higher reserve ratio. This value defines the maximum deposit scale that a depository institution can enjoy at the preferential reserve ratio. This indicator does not measure a percentage rate, but rather the scale of the financial limit. The index is adjusted annually based on the growth rate of total system-wide transaction deposits to prevent banks from being pushed into higher reserve tiers merely due to inflation or the natural growth of cash flows. When comparing the data series across years, users need to observe the growth of the threshold to assess the expansion of liquidity space supported for small and medium-sized institutions.
Frequently asked questions
- On what basis is this deposit threshold adjusted?
- The limit is adjusted annually in line with the rate of change in total net transaction deposits across the financial system.
- What is the significance of an increase in the deposit threshold subject to the lower rate?
- This allows banks to retain more deposits at the preferential reserve rate, helping to reduce reserve compliance costs.
- In what unit is this indicator displayed?
- The value is expressed as an absolute monetary scale rather than a percentage ratio like standard reserve requirement indicators.