Risk: Fed’s BTFP lending hits record high in early December

Risk writes that the Fed’s emergency facility extended almost $8 billion at the start of the December, more than the previous three months combined.

Lending via the Bank Term Funding Program, the emergency lending facility introduced by the US Federal Reserve following the March banking crisis, hit a new record in the first week of December, with just three months to go until the program is wound down.

As of December 6, the BTFP had $121.7 billion loans outstanding, the most since its inception on March 12. Advances during the first week of the month rose $7.8 billion, more than in the previous three months combined.

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