Fed Extends Four Lending Facilities Through March 31, 2021

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The Federal Reserve Board has extended four of its lending facilities through March 31, 2021.

The extension applies to the Commercial Paper Funding Facility (CPFF), the Money Market Mutual Fund Liquidity Facility (MMLF), the Primary Dealer Credit Facility (PDCF), and the Paycheck Protection Program Liquidity Facility (PPPLF) that were all scheduled to expire on or around Dec. 31, 2020. Further details on each facility can be found here.

By backstopping critical short-term funding markets, these facilities are supporting market functioning and enhancing the flow of credit to the economy. The extension, which has also been approved by the Treasury Department, will facilitate planning by potential facility participants and provide certainty that the facilities will continue to be available through the first quarter of 2021 to help the economy recover from the COVID-19 pandemic.

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