Amid recession fears, central banks team to improve credit supply
Six of the world’s central banks, including Canada, are making it cheaper for banks to get U.S. dollar liquidity when needed
OTTAWA—The Bank of Canada and five other central banks around the world say they’re working together to improve the supply of credit for both families and businesses.
The European Central Bank (ECB), U.S. Federal Reserve, the Bank of England and the central banks Japan and Switzerland are also taking part.
The ECB said in a statement central banks are making it cheaper for banks to get U.S. dollar liquidity when they need it.
They are also taking steps to ensure banks can get ready money in any currency if market conditions warrant.
The Canadian dollar moved higher after the announcement, up 1.09 cents to 98.15 cents U.S.