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Friday, December 3, 2010

Federal Reserve is now `Central Bank of the World'

Fed aid in financial crisis went beyond U.S. banks to industry, foreign firms

Washington Post | The financial crisis stretched even farther across the economy than many had realized

The central bank’s aid programs also supported U.S. subsidiaries of banks based in East Asia, Europe and Canada

 

Federal Reserve May Be `Central Bank of the World' After UBS, Barclays Aid

Federal Reserve data showing UBS AG and Barclays Plc ranked among the top users of $3.3 trillion from emergency programs is stoking debate on whether U.S. regulators bear responsibility for aiding other nations’ banks.

UBS was the biggest borrower under the Commercial Paper Funding Facility, with $74.5 billion overall, more than twice as much as Citigroup Inc., the top U.S. bank recipient, according to the data released yesterday. London-based Barclays Plc took the biggest single amount under another program that made overnight loans, when it got $47.9 billion on Sept. 18, 2008.

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