WASHINGTON - The Bank Insurance Fund hit a record high $21.85 billion in 1994 by adding $8.7 billion during the year, the government announced Tuesday.

The growth boosted the fund's reserve ratio to 1.15% on Dec. 31, just $1.85 billion shy of the target banks must meet to earn a cut in insurance premiums. The bank fund, by law, must hold $1.25 for every $100 of insured deposits before the Federal Deposit Insurance Corp. can lower its rates.

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