Fed makes last-minute changes to ‘Main Street’ programme
Programme will be open “soon”, despite plans to launch in May
The Federal Reserve has made some last-minute adjustments to its ‘Main Street’ lending programme, which the central bank intended to have already launched by now.
The Fed has both reduced the minimum loan size and raised the maximum loan size. It also lengthened the term of loans and delayed the period before firms have to start meeting principal payments.
To reduce the risks for banks, the Fed will also now purchase 95% of each loan from banks instead of 85%.
The moves should make the
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