Christopher Kent, Assistant Governor (Financial Markets), discusses the review the RBA has just published on the Term Funding Facility (TFF)
The TFF was one of the unconventional policy tools the RBA used during the COVID-19 pandemic.
Headlines via Reuters:
- The TFF delivered on its goals set at the start of the pandemic.
- Total cost of the TFF to RBA is estimated to have been $9 billion.
- A term lending tool of this kind would be worth considering again if warranted by extreme circumstances.
- But it would do so only after consideration of a wide range of scenarios and the associated risks.
Full text is here:
