The Federal Reserve Bank of New York announced Fraser’s appointment on Tuesday (March 31), though her one-year term began in January.
The council is made up of one representative from the banking sector from each of the Federal Reserve’s 12 districts. Its members “consult with and advise the Federal Reserve Board on all matters within the board’s jurisdiction,” the New York Fed said in a news release.
They meet four times a year on banking and economic developments and provide recommendations on Fed system activities, the release added.
Fraser has been with Citi for 22 years, becoming its CEO in 2021. She is the first woman to serve as chief executive of a major American bank.
According to a report by Reuters, Fraser’s appointment came the same day she published a note to clients saying Citi’s confidence in the future of the Middle East had not changed despite the current regional conflict.
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She added that policy decisions are playing a larger part in determining trade, technology and capital flows.
“That said, recent weeks have exacerbated a dynamic that has been developing over time. The old-world order, and the assumptions that went along with it, are falling away, unlikely to return,” Fraser said.
Clients “are keeping a close eye on how governments around the world, particularly the United States, embrace this resurgence of industrial policy and what it means for them. We are too.”
In other Citi news, the bank last week denied reports that it was considering the acquisition of a major U.S. regional bank or a brokerage. Bloomberg News had reported that executives at the bank were looking at the move to gain more deposits to fuel lending and trading operations.
That report pointed out that Citigroup operates under two consent orders that require it to get regulatory approval before attempting to make an acquisition, but when executives floated the idea with U.S. regulators, the regulators showed willingness to consider a proposal.
“The suggestion that Citi is planning to buy a regional bank, wealth brokerage — or any other financial services firm — is baseless speculation,” the bank told Bloomberg when asked about its plans. “At this time, we are solely focused on growing organically by executing our strategy and completing our transformation.”
