The FDR Framework and Disclosure of Discount Window Borrowing

If financial institutions in the US were required to disclose current asset and liability-level data under the FDR Framework, the Federal Reserve would not have to worry about disclosing discount window borrowings.

If the market had current asset and liability-level data, it would know which banks were solvent and which were insolvent.

Since the market would know the solvency status of each financial institution, it would be easily able to tell which banks were borrowing from the discount window on a temporary basis and which were borrowing while waiting for regulators to resolve them.