Fed Announces Moves to Provide Additional Lending
April 9, 2020
The Federal Reserve announced on Thursday, April 9, 2020 that it will inject about $2.3 trillion into the economy through a variety of lending programs, including bolstering the effectiveness of the Small Business Administration’s Paycheck Protection Program (PPP) by supplying liquidity to participating financial institutions through term financing backed by PPP loans to small businesses.
Federal Reserve Chairman Jerome Powell said in a statement, “The Fed’s role is to provide as much relief and stability as we can during this period of constrained economic activity, and our actions today will help ensure that the eventual recovery is as vigorous as possible.”
A press release issued by the Fed said the program will:
The Main Street Lending Facility will:
Businesses seeking Main Street loans must commit to make reasonable efforts to maintain payroll and retain workers. More information on the Main Street Lending Program can be found here (new loan facility) and here (expanded loan facility).
We will continue to keep you updated as this new program develops.
If you have any questions and would like to connect with a team member please call 404-874-6244 or contact an advisor below.CONTACT AN ADVISOR
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