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Federal Committments on the Economic Crisis

Date Type Amount Notes
Nov 28, 2007 Loan $8 bn Federal Reserve makes $8 billion in short-term loans available to large banks
Dec 12, 2007 Loan $40 bn Federal Reserve begins the Term Auction Facility to big financial institutions
Jan 4, 2008 Loan $20 bn TAF expanded to $60 billion
Feb 13, 2008 Stimulus $152 bn Economic Stimulus Act of 2008
Mar 7, 2008 Loan $40 bn TAF expanded to $100 billion
Mar 7, 2008 Loan $100 bn Federal Reserve offers $100 billion in term repurchase transactions, loans to big banks allowing them to use mortgage backed securities as collateral
Mar 11, 2008 Loan $200 bn Federal Reserve announces new Term Securities Lending Facility which offers big financial institutions 28-day loans, accepting mortgage-backed securities, and even riskier securities, as collateral
Mar 16, 2008 Insurance $29 bn Federal Reserve agrees to guarantee $29 billion of Bear Stearns's assets as part of its sale to JPMorgan Chase. It also announces an open-ended lending program for the biggest Wall Street firms
May 2, 2008 Loan $50 bn TAF is expanded to $150 billion
Jun 30, 2008 Loan $50 bn New loan program from the Federal Reserve to borrow Treasury Securities from the TSLF, accepts investment-grade corporate bonds as collateral. TAF adds loans with 84-day maturities but stays at $150 billion.
Sep 7, 2008 Insurance $200 bn Fannie Mae and Freddie Mac are put into conservatorship, with the Treasury pledging up to $200 billion to cover their losses
Sep 16, 2008 Loan $85 bn Federal extends American International Group (AIG) $85 billion in credit, in exchange for a nearly 80 percent stake in the company; reduced to $60 billion on November 10
Sep 19, 2008 Insurance $50 bn Treasury guarantees money-market fund accounts up to $50 billion
Sep 29, 2008 Loan $150 bn TAF is expanded to $300 billion
Sep 29, 2008 Loan $200 bn Federal Reserve announces Schedule 2 TSLF auctions will be $200 billion
Oct 6, 2008 Loan $600 bn TAF is expanded. Total liabilities to year end of $900 billion.
Oct 8, 2008 Investment $38 bn New York Fed will borrow up to $37.8 billion in investment-grade, fixed-income securities from AIG in return for cash collateral; paid back on November 10
Oct 12, 2008 Insurance $9 bn Treasury guarantees a $9 billion investment in Morgan Stanley by a Japanese bank
Oct 14, 2008 Investment $700 bn Treasury begins investing $250 billion TARP money in banks to provide them with equity
Oct 14, 2008 Insurance $500 bn The government announces that the FDIC will insure all noninterest-bearing deposit accounts through 2009. These accounts are mainly used by businesses.
Oct 14, 2008 Insurance $1500 bn The Federal Deposit Insurance Corporation (FDIC) announces that it will insure all senior subordinated bank debt through June 2009
Oct 14, 2008 Insurance $700 bn Federal Resereve authorizes unlimited swap lines to the Bank of Japan, in addition to unlimited swap lines already in place for Eurpoean Central Bank, Bank of England and Swiss National Bank
Oct 27, 2008 Investment $1600 bn Federal Reserve becomes the buyer of last resort in the $1.6 trillion commercial paper market—the unsecured short-term debt that companies use to finance their day-to-day operations. The government will buy only investment-grade debt.
Nov 1, 2008 Insurance $550 bn Federal Reserve will begin facilitating sales of money market instruments in the secondary market through a new Money Market Investor Funding Facitily
Nov 10, 2008 Loan -$25 bn AIG credit reduced to $60bn
Nov 10, 2008 Investment $53 bn Additional lending facilities for AIG including $22.5bn in residential mortgage-backed securities facility, and $30bn in a collateralized debt obligations facility
Nov 10, 2008 Investment -$38 bn $37.8 billion investment-grade, fixed-income securities repaid by AIG
Nov 23, 2008 Insurance $249 bn Treasury announces it is backing the bulk of $306 bn in loans and securities. This amount does not include $45bn in direct investments from TARP
Nov 23, 2008 Investment $20 bn Additional investment in Citigroup
Nov 25, 2008 Loan $200 bn New York Fed will lend up to $200 billion on a non-recourse basis to holders of certain AAA-rated Asset-Backed Securities backed by newly and recently originated consumer and small business loans
Nov 25, 2008 Investment $600 bn Purchase of up to $100 billion in government-sponsored enterprises' direct obligations. Purchase of up to $500 billion in mortgage-backed securities