Federal Reserve Transparency Act of 2025

# Federal Reserve Transparency Act of 2025 - Plain Language Summary **What the Bill Would Do** This bill would require the Government Accountability Office (GAO)—an independent agency that audits federal spending—to conduct a comprehensive audit of the Federal Reserve and its regional banks within 12 months. Currently, the GAO has limited ability to examine certain Federal Reserve activities. This bill would expand those auditing powers to include the Fed's international financial dealings, decisions about monetary policy (like interest rate changes), transactions made by the Federal Open Market Committee, and internal communications among Fed officials about these matters. **Who It Affects and Key Provisions** The bill primarily affects the Federal Reserve System and would increase Congressional oversight of its operations. It would allow more detailed scrutiny of how the Fed makes decisions and conducts its business. Supporters argue this would increase transparency and accountability in how the nation's central bank operates.

Critics might contend that such audits could interfere with the Fed's independence in managing monetary policy. The bill's scope includes all Federal Reserve banks across the country. **Current Status** As of now, the bill (HR 24) is in committee and has not yet been voted on by Congress. It was introduced by Rep. Thomas Massie (R-KY) and is in the 119th Congress.