Fed Establishes Temporary U.S. Dollar Liquidity Arrangements with Nine Central Banks

To help ease the strain on U.S. dollar funding markets and facilitate the supply of credit to households and businesses, the Federal Reserve today established new temporary U.S. dollar swap lines with nine central banks around the globe.

The new facilities—which will be in place for at least six months—will support the provision of U.S. dollar liquidity in amounts of up to $60 billion each for central banks in Australia, Brazil, Korea, Mexico, Singapore and Sweden, and $30 billion each for Denmark, Norway and New Zealand. The Federal Reserve also has standing U.S. dollar liquidity swap lines with central banks in Canada, the United Kingdom, Japan, the European Union and Switzerland.