Fed says more than 1,800 banks utilized emergency lending facility

The Federal Reserve said that 1,804 banks used the emergency lending facility that was set up in March 2023, following the collapse of multiple regional banks including Silicon Valley Bank. Of the borrowers, 95% were banks, credit unions, savings associations and others that had less than $10 billion in assets, according to a report by Reuters.

The program, called the Bank Term Funding Program was set up to handle a liquidity crunch. It lent on collateral with cheaper terms than usual.

The program ended on March 11, 2024, and extended a total of $165 billion in loans.

Silicon Valley Bank made headlines last month when it announced it was opening a new office in San Francisco.