Inside This Issue
- Fourth Quarter Message
- MDI Overview
- MDI Program Resources
- Supervisory Updates
- MDIs in the News
- Upcoming Events
Fourth Quarter Message from the Office of Minority and Community Development Banking Team
Greetings Bankers!

The Minority Banking Opportunity Explorer is now live! This tool supports the FDIC’s statutory mission to promote the creation of new Minority Depository Institutions. The Minority Banking Opportunity Explorer is designed to aid:
- Investors that are considering establishment of a de novo minority depository institution (MDI) by showing potential business opportunities in areas that may meet the “community served” part of an MDI designation; or
- Existing MDIs by identifying potential locations for opening a new branch or advertising to extend the geographic footprint of the areas they serve.
You can check out the Minority Banking Opportunity Explorer by clicking this link. This webpage includes instructions that will allow you to use the tool’s features. Please feel free to reach out to us at MDIProgram@fdic.gov with any questions you may have.
MDI Overview

As of September 30, 2024, the total number of MDIs increased by one to 150. MDI asset totals for the quarter have increased by $5.2 billion (slightly over 1 percent) to over $360 billion. Total assets increased $17.1 billion (5.0 percent) from a year earlier due primarily to increases in total loans of $13.3 billion (5.7 percent) and increases in securities of $4.5 billion (7.0 percent). Total liabilities increased $12.5 billion (4.1 percent) over the previous 12 months, including a $15.6 billion (5.4 percent) increase in deposits. Within total deposits, interest-bearing deposits increased $18.3 billion (8.8 percent), while noninterest bearing deposits decreased $3.5 billion (4.5 percent). Listing service deposits increased $1.0 billion (51.8 percent) and brokered deposits increased $201 million (1.5 percent) from the previous year.
Third quarter 2024 net income for MDIs was $1.1 billion, a decrease of $40.3 million (3.5 percent) from third quarter 2023. Declining noninterest income and an increase in provisions drove lower net income. Growth in net interest income helped offset the annual net income decline. The pretax return on assets (ROA) ratio of 1.59 percent was down 11 basis points from the year-earlier quarter and down 4 basis points from second quarter 2024. This ratio also was 38 basis points higher than the community bank pretax ROA ratio of 1.21 percent.
Total equity capital increased $4.6 billion (13.6 percent) from the previous year to $38.4 billion and increased $1.7 billion (4.7 percent) from second quarter 2024. Positive retained earnings, which increased $1.6 billion (7.7 percent) in the year, and lower unrealized losses were the primary contributors to the year-over-year increase in equity capital. Unrealized losses on available-for-sale securities decreased $1.4 billion in the quarter and decreased $2.9 billion in the year. Most MDIs (88.0 percent) reported an increase in equity capital from a year earlier.
Additional information on the financial condition of the U.S. banking system can be found in the FDIC’s Quarterly Banking Profile.
Reporting
The FDIC prepares an Annual Report to Congress that provides a summary profile of MDIs as of the year end; a description of the FDIC’s MDI Program; and detailed information on the FDIC’s initiatives supporting MDIs. We invite you to read the 2023 FDIC MDI Annual Report to Congress.
New MDI Designations (FDIC-supervised)
During the 3rd quarter, American Pride Bank, Macon, Georgia, an FDIC-supervised State nonmember bank, was designated as an MDI and added to the MDI List. American Pride Bank was established in 1983 and is designated as an Asian American MDI.
In addition, during the 4th quarter, Monterey County Bank, Monterey, California, an FDIC-supervised State nonmember bank, was designated as an MDI and will be added to the 4th quarter MDI List. Monterey County Bank was established in 1977 and is designated as an Asian American MDI.
MDI Program Resources
The FDIC offers a variety of resources to MDIs in an effort to provide for continual engagement through ongoing interaction with the Washington, Regional, and Field Office staff. Below is a recap of activities that occurred during the quarter.
Technical Assistance
At any time, you may request technical assistance on areas of interest to your institution, such as bank regulations, FDIC policies, examination procedures, applications processes, and more. Technical assistance requests can be submitted to your Regional MDI Coordinator, Case Manager, Review Examiner, or any member of field office staff. An FDIC representative will provide the technical assistance within 90-120 days (often sooner) of the request. Below are examples of technical assistance provided to MDIs during the quarter:
- Field Office and Regional Office staff responded to a technical assistance request regarding an institution’s Vendor Management Program (Program). A field office examiner reviewed various documents and policies related to the institution’s Program and provided feedback and suggestions on the documents as the bank management builds out its newly developed Program.
- An examiner reviewed an institution’s Current Expected Credit Losses methodology after it was updated to address supervisory recommendations made during an examination. The examiner provided feedback on the model and offered further assistance and guidance to assist in the institution’s effectively running the model in the future.
- A Senior Compliance Examiner provided technical assistance regarding the institution’s expanded Community Reinvestment Act (CRA) assessment area. The Senior Examiner reviewed the bank's CRA assessment area and provided comments and recommendations.
- A Supervisory Examiner provided technical assistance on IT audit expectations and clarified the difference between vulnerability assessments and penetration tests, as well as internal and external scans. The Supervisory Examiner and bank management also discussed audit frequency; expectations for Interagency Guidelines Establishing Information Security Standards; and debit card fraud losses.
- A Senior Risk Examiner met with an institution’s Bank Secrecy Act Officer via MS Teams to discuss the bank's new digital account opening policies and procedures.
Please contact your regional office if you would like to request technical assistance or schedule a meeting with regional management to discuss any areas of interest for your institution.
Outreach
The FDIC welcomes opportunities to build relationships, promote open communication and provide information and resources. Below are a few internal and external outreach activities that occurred during the quarter in which representatives of the MDI Program were able to host and/or participate:
- On October 10-11, 2024, the staff of the Office of Minority and Community Development Banking participated in the National Bankers Association Annual Conference in Washington, D.C. The annual conference provides opportunities to engage with MDIs, policymakers, industry leaders, and strategic partners. The FDIC Chairman participated in a fireside chat and FDIC staff maintained a booth to share information on the FDIC’s MDI Program including a demonstration of the Minority Banking Opportunity Explorer Tool.
- On November 6, 2024, the FDIC held its MDI Subcommittee of the Advisory Committee on Community Banking meeting at FDIC Headquarters in Washington, D.C. This biannual meeting serves as a source of feedback for FDIC strategies to fulfill its statutory goals to preserve and promote MDIs. The FDIC Chairman, Martin Gruenberg, presided over the meeting which included discussion on various topics. The public session of the November meeting included a demonstration of the Minority Banking Opportunity Explorer Tool, a discussion of national economic and local banking conditions as well as conversation from subcommittee members on what they are seeing in the areas where they serve customers.
- On December 5-6, 2024, Director Betty Rudolph and other FDIC staff participated in the Association de Bancos de Puerto Rico annual compliance conference, the largest gathering of MDI bankers in 2024 with approximately 170 attendees. Topics presented by FDIC staff from the New York Region, led by Deputy Regional Director Scott Strockoz included: Unfair and Deceptive Acts and Practices; New Laws and Regulations update; Data Governance; Fair Lending Update; Third-Party Risk Management; and Social Media Risks.
Regional MDI Roundtables
The FDIC’s Regional MDI Roundtables are an outreach activity that provide opportunities for bankers to network with each other and meet with regional management. Below are the Roundtables that occurred during the quarter:
- On October 23, 2024, the San Francisco Region hosted their annual MDI Regional Roundtable in Los Angeles. The agenda included presentations from the Federal Home Loan Bank of San Francisco on Community Investment Programs, a presentation by the Director of the CDFI Fund on programs they offer that support mission-driven banks, as well as an Economic Update, Technical Assistance discussion, information about the State Small Business Credit Initiative, and information on failed bank acquisitions.
- On October 24, 2024, the New York Region hosted their annual MDI Regional Roundtable at the New York regional office. The agenda included updates on the MDI Program from the Office of Minority and Community Development Banking; overview of the MDI Subcommittee purpose and meeting agenda by Subcommittee member bankers operating in the New York region; update on economic conditions from the Division of Insurance and Research; presentation from the Mission Driven Bank Fund; presentation from the Federal Home Loan Bank System on Affordable Housing Programs; updates on events held by the FDIC’s Community Affairs section; and a regulatory roundtable discussion between regional management and bankers.
- On December 12, 2024, the Chicago and Kansas City regions hosted their semi-annual MDI Regional Roundtable at the Chicago regional office. The agenda included updates on the MDI Program; discussions from Deputy Regional Directors on emerging risks in the areas of Compliance and Risk Management; presentations from the Division of Insurance and Research on overall economic performance in the regions; and open discussion on various topics with bankers and regional management.
- On December 12, 2024, the Dallas Region hosted a virtual MDI Regional Roundtable for Oklahoma Native American MDIs. The event provided an open forum for participants to discuss third party-risk and information technology hot topics as well as technical assistance opportunities.
Supervisory Updates
The FDIC and other federal regulatory agencies publish regular updates on agency activities and banking developments in the banking system, the latest research and analysis, and educational information for consumers. Below you’ll find interesting supervisory information that may impact your institution. Visit FDIC.gov for information on other developments.
- On October 15, 2024, Federal and State financial regulatory agencies issue Interagency Statement on Supervisory Practices Regarding Financial Institutions Affected by Hurricane Milton.
- On October 17, 2024, the FDIC Extends Compliance Date for Subpart A of the FDIC Official Signs and Advertising Requirements, False Advertising, Misrepresentation of Insured Status, and Misuse of the FDIC’s Name or Logo.
- On November 18, 2024, the FDIC Announces Extension of Comment Period for Deposit Insurance Recordkeeping Rule for Banks’ Third-Party Accounts.
- On December 2, 2024, the FDIC Provides Additional Questions and Answers Regarding FDIC Official Signs and Advertising Requirements, False Advertising, Misrepresentation of Insured Status, and Misuse of the FDIC Name or Logo.
- On December 4, 2024, the Agencies Issue Interagency Statement on Elder Financial Exploitation.
- On December 27, 2024, the Agencies issued an Extension of the Revised Statement Regarding Status of Certain Investment Funds and Their Portfolio Investments for Purposes of Regulation O and Reporting Requirements under Part 363 of FDIC Regulations.
MDIs in the News
Learn about recent activities at MDIs or their communities that are featured in recent articles and interviews:
- National Bankers Association Releases Annual State of MDI Report, Emphasizing the Importance of Equity in Action
A cornerstone publication highlighting the critical role of MDIs in promoting financial inclusion and addressing economic disparities across the United States. - Mission Driven Bank Fund appoints Mission Advisory Committee
The panel brings decades of banking industry expertise to support the Fund’s mission to help close the racial wealth gap. - Mission Driven Bank Fund achieves full participation in the technical services program
The Mission Driven Bank Fund (MDBF) today announced that all seven portfolio banks are actively participating in its technical services program, which provides targeted support to the Fund’s portfolio banks to build organizational capacity. - Forbes BLK 50: The Most Powerful, Impactful And Wealthiest Black Americans
The inaugural list honors new wealth creators, individuals in the financial and clean energy sectors and top executives. This list includes Todd McDonald, President of Liberty Bank and Trust, New Orleans, LA. - Origin Stories: Minority Depository Institutions - YouTube – Falcon Bank
The FDIC published the Origin Story of Falcon Bank, Laredo, TX. Watch the video and hear the story of this MDI and the impact they make on the communities they serve.
Upcoming Events
Below are upcoming events that may be of interest to your organization. These events are FDIC-sponsored, events the FDIC will participate in as panelists and/or guest speakers, events where the FDIC will have an exhibit booth, or events that may be of general interest to you and your institution.
- January - March 2025 – The Community Development Financial Institutions Fund is offering CDFI Certification Webinars to serve as a forum for potential CDFI Applicants, Certified CDFIs, and other CDFI Certification stakeholders to ask questions and discuss CDFI Certification and the CDFI Certification process. Visit their website for dates and more information.
- March 2025 – FDIC-supervised MDIs be on the lookout for the Annual MDI Contact Letter from your Regional Director.
- March 11-14 – ICBA Live: Celebrate the unique rhythm of community banking at ICBA LIVE, the world’s largest gathering of community bankers, where amplified connections and ideas await.
For more information on the resources available to MDIs, visit the FDIC MDI Program homepage.
To receive updates on future MDI Program Newslink publications, please click HERE to subscribe.