Key Highlights
- Congress has approved $380 billion to supplement SBA programs and an additional $100 billion for hospitals, health care workers, and testing.
- Heightened attention on the SBA’s Paycheck Protection Program seen in new funding legislation, new guidance from Treasury and SBA on eligible companies, FRB and FHFA efforts to provide liquidity related to PPP loans, certain companies voluntarily returning PPP funds.
Financial services regulatory and policy news
Banking
- FRB issued an interim final rule amending rules for loans to directors and executive officers regarding SBA's PPP
FRB, April 17, 2020 - FRB announced the information it would make public for participants in its credit facilities
FRB, April 23, 2020 - FRB announced efforts to expand PPPLF to non-depository SBA lenders
FRB, April 23, 2020 - FRB announced temporary actions to increase intraday credit through Federal Reserve Banks
FRB, April 23, 2020 - FRB published an interim final rule amending the transfer limitations for savings deposits in Regulation D
FRB, April 24, 2020
Capital Markets
- SEC issued two exemptive orders providing phased-in CAT reporting for broker-dealers
SEC, April 20, 2020 - SEC proposed a new framework for fund valuation practices, including good faith determinations of fair value
SEC, April 21, 2020 - CFTC announced “Project Streetlamp,” a competition to leverage technologies to identify potentially illegal activity subject to the CFTC’s jurisdiction
CFTC, April 21, 2020
Other
- Congress passed bill to provide additional funding for the CARES Act
U.S. Senate and House, April 21 and 23, 2020 - Treasury and SBA update FAQs for PPP
Treasury, April 23, 2020 - FHFA announced FHLBs may accept SBA PPP loans as collateral
Federal Housing Finance Agency, April 23, 2020 - FHFA announced Fannie Mae and Freddie Mac will purchase certain loans in forbearance
FHFA, April 22, 2020 - NY FRB published FAQs on Federal Reserve credit facilities PMCCF and SMCCF
New York Federal Reserve Bank, April 17, 2020 - ARRC has published 2020 objectives for transition from LIBOR to SOFR
ARRC, NY FRB, April 17, 2020 - FSB published a consultation document on "effective practices" for cyber incident response and recovery
Financial Stability Board, April 20, 2020
Industry news
- More U.S. companies return payroll loans after new treasury guidance
Reuters, April 23, 2020 - U.S. firms may face probes over payroll loans, treasury, DOJ officials warn
Reuters, April 22, 2020 - Consumer lenders enter fog of uncertainty
WSJ, April 21, 2020 - Stress endures in market where big companies turn for cash (commercial paper funding facility)
WSJ, April 20, 2020 - Fannie, Freddie may soon buy home loans in forbearance to help mortgage firms
WSJ, April 20, 2020 - Bankers, borrowers fret over details of middle market rescue
American Banker, April 22, 2020
