In today’s top news, the Federal Reserve has launched a multi-trillion-dollar lending program that targets smaller companies and local governments, while the demand for Small Business Administration (SBA) loans has led the Fed to mull letting non-bank lenders speed distribution. Plus, an estimated 40 percent of small businesses that rely on hourly workers have closed.
The Federal Reserve on Thursday morning said it had rolled out a multi-trillion-dollar lending program that targets smaller businesses as well as local governments. It’s designed to bolster the U.S. economy, with the ongoing fallout from COVID-19.
The demand for SBA loans has caused the Fed to mull letting non-bank lenders accelerate the distribution of $350 billion in loans over the COVID-19 crisis. The daily demand for loans has been higher than what the SBA usually processes in a year.
An estimated four in 10 small businesses that depend on hourly workers have shuttered. And jobless claims have reached nearly 17 million, which doesn’t count those who can’t get through to unemployment offices, while many small companies have been unable to get relief loans.
Steven Mnuchin, the U.S. Treasury secretary, said it’s possible the country could re-open in May. In a televised interview, he said the Trump administration was doing everything possible to get America back to work.
Three of the four most important benefits healthcare administrators foresee gaining from smart agent-based artificial intelligence (AI) are related to fraud. In addition, the benefit cited by the largest share of healthcare firms is the ability to decrease false positives.
Owners of small to medium-sized businesses have been lining up to apply for PPP funds. They have been clamoring for money that many federal officials vow each day will be delivered quickly. But will that occur?