DEFINITION of 'Federal Reserve Bank Of Boston'

The Federal Reserve Bank responsible for the first district of the Rederal Reserve. It is located in Boston, MA. Its territory includes the states of Massachusetts, Maine, New Hampshire, Rhode Island and Vermont, as well as a portion of Connecticut.

BREAKING DOWN 'Federal Reserve Bank Of Boston'

The Federal Reserve Bank of Boston is one of twelve Reserve Banks within the Federal Reserve System. It is responsible for executing the central bank's monetary policy by reviewing price inflation and economic growth, and by regulating the banks within its territory. It provides cash to banks within its district and monitors electronic deposits.


The president of the Federal Reserve Bank of Boston, along with the presidents of the other banks and the seven governors of the Federal Reserve Board, meet to set interest rates eight times anually. This is referred to as the Federal Open Market Committee (FOMC).

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RELATED FAQS
  1. What is the structure of the U.S. Federal Reserve Bank?

    Wonder how the U.S. Federal Bank began and how it works today? Learn how this complex system is structured and how it works ... Read Answer >>
  2. What happens if the Federal Reserve lowers the reserve ratio?

    Learn about the Federal Reserve's monetary policy and the tools it uses to control it. Understand what happens if the Federal ... Read Answer >>
  3. How are bank reserve requirements determined and how does this affect shareholders?

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  4. Why do commercial banks borrow from the Federal Reserve?

    Learn how commercial banks borrow from the Federal Reserve to meet minimum reserve requirements, and discover the pros and ... Read Answer >>
  5. How does the Federal Reserve's set discount rate affect my personal finances?

    Discover how the Federal Reserve implements its chosen monetary policy through its discount rates, and how these actions ... Read Answer >>
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