Britain unveils plan to help banks with credit crunch |
| Reuters - Apr 21, 2008 |
The Bank of England moved to ease the effects of a credit crunch on the UK's banking system on Monday by offering to swap secure government bonds for riskier mortgage debt.
It is initially offering 50 billion pounds worth ($100 billion) of gilt-edged securities but the size of the scheme will depend on how much banks need to get lending going again -- and how much they're willing to stump up in costly collateral.
"There is no arbitrary limit on it," Bank of England Governor Mervyn King told reporters.
Although the move should help to give some much-needed to support to the banking system, economists cautioned the swap scheme alone would not be enough to revive a flagging economy.
Read Full Article from Reuters
- Posted: 2008-04-21 08:58:48
| More Stock Investor Place Financial News |
 |
|
|
|
| Stock Investor Place Financial News Archive |
|
|
|
