As of September 2002, Louisiana had 174 insured banks with assets totaling $48 billion.
Louisiana state-chartered banks are regulated by the Office of Financial Institutions under the Department of Economic Development. Nationally chartered banks are regulated by the Office of the Comptroller of the Currency.
A favorable interest rate climate in 2002 improved earnings for Louisiana's insured institutions. Nonetheless, the narrowing of the spread between short-term and long-term interest rates at the end of 2002 was projected to have detrimental effects on the net interest margin (NIM) (the difference between the lower rates offered to savers and the higher rates charged on loans), causing earning asset yields to decline.