Charles Evans, the president of the Federal Reserve Bank of Chicago, defended the central bank's oversight of state member banks, saying it provides a valuable insight into the economy.

"Our supervisory role with community and regional banks provides us with grassroots information that ensures a balanced regulatory perspective and provides regional insights that are important to our monetary policy role," Evans wrote Tuesday in a letter to 10 senators from five states within his district.

Subscribe Now

Access to authoritative analysis and perspective and our data-driven report series.

14-Day Free Trial

No credit card required. Complete access to articles, breaking news and industry data.