Abstract

There is no doubt that financial markets globally are becoming more integrated. One important aspect of that integration from the point of view of the Board of Governors of the Federal Reserve System (the Federal Reserve Board, or the Board) is the entry and expansion of non-U.S. banks in the U.S. market. This chapter briefly addresses the role of the Federal Reserve in the implementation of the Foreign Bank Supervision Enhancement Act of 1991 (FBSEA).1 FBSEA is the most recent major piece of U.S. legislation concerning the offices of foreign banks in the United States.