The emergence of state banks on the US banking scene, may provide the Territorial Bank of American Samoa an avenue to get coverage from the Federal Deposit Insurance Corporation while it’s a government bank.
Commissioner of the Office of Financial Institutions Robert Ho Chee explained at a House hearing last week that the FDIC has made it clear that as long as the government is involved in TBAS, it will not provide insurance.
But he pointed out if there are enough state banks lobbying for FDIC insurance it’s possible that TBAS would eventually gain FDIC insurance.
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Chair of the TBAS Board Olivia Reid gave a positive report of the bank.
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