economy
The US Federal Reserve wants to play with more open cards in the fight against the corona crisis in the granting of its multi-billion dollar loan aid than during the financial crisis. For this purpose, details should be published at least once a month, who borrowed how much, announced them on Thursday. The Fed is for “transparency and accountability,” said President Jerome Powell.
The central bank had announced a $ 2.3 trillion program that companies, states, and counties could access to help deal with the pandemic. The transparency offensive that has just been announced marks a departure from the lack of transparency that the Fed operated during the 2007-2009 financial crisis. At that time, she refused to give the names of the borrowers – for fear of scaring shareholders. Details were only released after the so-called Dodd-Frank Act of 2010 obliged the central bank to publish it.
In some areas, however, the Fed wants to maintain “confidentiality” – such as “certain” money market transactions. This should avoid stigmatization that could prevent companies from doing business when needed, the Fed said.
Source: Apa / Ag.
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Accessed on April 24, 2020 at 02:40 on https://www.sn.at/wirtschaft/welt/us- Notenbank-will-nutzer-ihres-notfallprogramms-nennen-86653504
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