After a 12-year tenure as president of the Federal Reserve Bank of Atlanta, Robert P. Forrestal announced on Monday that he will retire Jan 1.

"With the economy very much on track, the banking industry in sound condition, and the Atlanta Fed performing extremely well, it seems like an appropriate time to step aside and pave the way for a smooth transition in the leadership of the bank," he said in a prepared statement.

The Atlanta Fed's board of directors simultaneously announced that it will create a search committee from among its nine members to seek a replacement.

Mr. Forrestal reaches 65, the mandatory retirement age for Fed bank presidents, next fall.

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