Policy making body of the Fed is the Federal Open Market Committee
, which undertakes crucial decisions on interest rates, money supply etc. The committee meets eight times a year ensuring timely action on economic and financial developments. At the meeting, current and prospective national and international situations are evaluated, reports of account transactions are reviewed, polices depending on the economic state are framed. It consists of the president of Federal Reserve Bank of New York, seven members of the Board of Governors and four rotating members from the other eleven Reserve Banks.