(RTTNews) - Federal Reserve Chairman Ben Bernanke delivered a speech on community banking at the Independent Community Bankers of America National Convention and Techworld on Wednesday.
In his remarks, Bernanke recommended that community banks improve on how they manage risks in light of their growing reliance on commercial real-estate loans.
He said the growth of commercial real-estate loans "raises the possibility that risk-management practices in community banks may not have kept pace with growing concentrations and may be due for upgrades in oversight."
Nonetheless, Bernanke did not comment specifically on the outlook for the U.S. economy or interest rates.
The Federal Reserve is scheduled to hold a two-day meeting on interest rates starting March 27. Most analysts expect the Fed to raise interest rates by another quarter point.
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