Our website will undergo scheduled maintenance on the morning of Thursday, August 11, 2022. During this time, connection to our website and some of its features may be unavailable. Thank you for your patience and we apologize for any inconvenience.

Journal Article

The Fed’s Central Bank Swap Lines and FIMA Repo Facility


Abstract: Building on the facility design and application experience from the global financial crisis, in March 2020 the Federal Reserve eased the terms on its standing swap lines in collaboration with other central banks, reactivated temporary swap agreements, and introduced the new Foreign and International Monetary Authorities (FIMA) Repo Facility. While these facilities have similarities, they differ in their operations, breadth of counterparties, and range of potential effects. This article provides key details on these facilities and highlights evidence that they can reduce strains in global dollar funding markets and U.S. Treasury markets during extreme stress events.

Keywords: Federal Reserve; swap line; dollar; liquidity; repo; Federal Reserve lending facilities; Central Bank Swap Lines; FIMA Repo Facility;

JEL Classification: F33; F34; G28;

Access Documents

File(s): File format is application/pdf https://www.newyorkfed.org/medialibrary/media/research/epr/2022/epr_2022_fima-repo_choi.pdf
Description: Full text

File(s): File format is text/html https://www.newyorkfed.org/research/epr/2022/epr_2022_fima-repo_choi.html
Description: Summary

Authors

Bibliographic Information

Provider: Federal Reserve Bank of New York

Part of Series: Economic Policy Review

Publication Date: 2022-07-01

Volume: 28

Issue: 1