The Fed’s Regional Structure
The 12 Federal Reserve Banks act as operating arms of the Fed—the central bank of the United States.
Location of the 12 Federal Reserve Banks
Each Reserve Bank operates in its own dedicated geographic area, called a district. The map below highlights these districts as well as the headquarters of the 12 Reserve Banks. Each Federal Reserve district has a designated number and letter, from 1A through 12L.
Reserve Banks are headquartered in: Boston (District 1A), New York (District 2B), Philadelphia (District 3C), Cleveland (District 4D), Richmond (District 5E), Atlanta (District 6F), Chicago (District 7G), St. Louis (District 8H), Minneapolis (District 9I), Kansas City (District 10J), Dallas (District 11K) and San Francisco (District 12L).
Notice that the size of the districts in the Northeast tend to be very small, while those in the West are very large. This size discrepancy relates to the population distribution in 1913, when the Fed was founded. The U.S. population at that time was heavily concentrated along the East Coast.
The Federal Reserve System has adapted to changing population patterns by adding branch offices in the districts. For example, the Twelfth District is very large geographically and includes Hawaii and Alaska. This district has four branches in addition to its headquarters in San Francisco.
Why Are There 12 Regional Federal Reserve Banks?
The economic and credit conditions of households, communities and businesses vary across the United States. The Fed’s structure reflects that. The 12 Federal Reserve Banks serve as your voice in the economy.
Having 12 Reserve Banks (plus 24 branches) dispersed throughout the nation ensures that regional conditions constantly inform the Fed’s policies, actions and decision-making.
- The Fed is decentralized by design.
- It has a dual mandate of price stability and maximum sustainable employment.
- The Fed is accountable to Congress and the American people.
- Independent regional Reserve Banks are guided by local boards of directors.
- Advisory councils of local business and community leaders give input on conditions in their regions, industries and communities.
- Research experts at the Reserve Banks use data and insights to inform discussion, and economic information flows between the Reserve Banks and the region they serve.