Daleep Singh: The Fed's emergency facilities - usage, impact, and early lessons

Remarks (via videoconference) by Mr Daleep Singh, Executive Vice President and Head of the Markets Group of the Federal Reserve Bank of New York, at the Hudson Valley Pattern for Progress, 8 July 2020.

The views expressed in this speech are those of the speaker and not the view of the BIS.

Introduction

Good morning, everyone. Thanks to Jonathan Drapkin and the Hudson Valley Pattern for Progress for inviting me to speak today, and to all of you for being here. During his regional visit last July, New York Fed President John Williams heard from you and others in the area about several key issues-including workforce development, changing demographics, concerns about equitable growth, and a lack of affordable housing and public transportation. I have no doubt all of these issues have become far more acute-while many deeper ones have arisen-because of the tremendous hardship caused by the coronavirus pandemic. Now more than ever, dialogues such as this one provide insight into the extraordinary challenges faced by the communities we serve.

With this context in mind, I will briefly review the actions the Federal Reserve has taken to support the U.S. economy in the face of the pandemic, focusing in particular on the facilities that were created under the Federal Reserve's emergency lending authority. I'll then explain the effectiveness of these facilities and offer some early lessons learned, and will end by highlighting some challenges and opportunities as we look ahead.