Federal Reserve lending directly to risky non-financial companies

Federal Reserve lending directly to risky non-financial companies

The Federal Reserve Bank is lending directly to private non-financial companies, an unprecedented step. They traditionally lend only to banks that may be illiquid but are judged solvent. They have will be lending $100 billion to companies at risk of failure due to the shutdown to contain COVID-19. The also expanded eligibility for a lending facility for state and local governments.

Skeptic
Skeptic
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