Federal Reserve To Lend Up To $300 Billion To Corporations And Small Businesses
In order to help during these uncertain financial times, the Federal Reserve is lending money to small and large businesses. The Federal Reserve has announced it will let businesses and local governments borrow. The reserve’s cap is up to $300 billion.
The Fed announced it will set up three new lending facilities. The resources will come from purchasing corporate bonds, a variety of municipal bonds and asset-backed securities.
The Federal Reserve is also buying unlimited Treasury bonds and mortgage-backed securities to hold interest rates down.