This white paper examines how COVID-19 reshaped capital reserve management across U.S. banks and influenced regulatory and risk management practices. The pandemic created significant economic uncertainty, prompting concerns about credit losses, loan defaults, liquidity needs, and overall financial stability. In response, banks strengthened capital reserves and enhanced risk assessment frameworks to withstand potential financial stress. Regulatory authorities introduced temporary measures and capital relief programs to support lending activity while maintaining the resilience of the banking system. The report analyzes the impact of evolving economic conditions on banks’ capital requirements, forecasting models, and reserve assumptions. It also explores methodologies used to assess risk expo

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