U.S. Treasury Secretary Steven Mnuchin calls-in to Maria Bartiromo to discuss some of the details within the coronavirus relief bill, including the ‘when’ and ‘how’ funds will be distributed.
On the business side Secretary Mnuchin is standing up a new funding mechanism for small businesses within the Small Business Administration (SBA). The treasury is using the architecture of the ¹FDIC to be the point of contact for businesses who need short-term bridge funds to help carry them. On the worker side the direct payments to middle-class workers should arrive in two to three weeks. Excellent Interview:
¹That is really smart. All FDIC insured lenders can operate as point of contact lenders for small businesses that need emergency funding. That means instead of navigating the matrix of big government, a business owner can just go to their local bank and get the funds. The FDIC, already in a relationship with the bank, back-stops the funding while treasury underwrites the lending (a loan without payback). Brilliant approach.