OCC’s Semiannual Risk Perspective Highlights Key Risks in Federal Banking System

WASHINGTON—The Office of the Comptroller of the Currency (OCC) today reported the key issues facing the federal banking system in the Semiannual Risk Perspective for Fall 2025.

The OCC reported that the strength of the federal banking system remains sound. Balance sheets remain satisfactory with high capital and liquidity ratios that are well-positioned to absorb potential stress. Financial innovation presents banking opportunities. A lack of investment in new technologies, products, and services may present material risks to long-term bank performance and viability of institutions. The OCC fosters a regulatory environment that enables banks to advance their businesses and client interests while managing financial risks and operating in a safe and sound manner.

The OCC highlighted credit, market, operational, and compliance risks, as key risk themes in the report. Highlights from the report include:

• Commercial and retail loan portfolio delinquencies, loss rates, and noncurrent and classified levels remain manageable.
• Liquidity remains sound.
• The OCC has observed an increase in threats posed by foreign state-sponsored actors and sophisticated cybercriminal groups, targeting the financial sector.
• Banks continue to face challenges from elevated levels and sophistication of fraud, including scams.

Related Link

• OCC Semiannual Risk Perspective for Fall 2025 (PDF)