Years after the financial crisis, details about which banks tapped the various Federal loan programs set up by the U.S. to help save banks from going bankrupt are still being revealed.
This latest data release, given to Bloomberg via the FOIA, says that Goldman Sachs borrowed more from the Fed’s St OMO program than any other firm, $15 billion, on one day.
The St OMO program, according to Bloomberg:
[Increased] the availability of short-term financing when private lenders were under pressure, “[and] helped alleviate strains in financial markets and support the flow of credit to U.S. households and businesses…” All of the ST OMO loans were repaid…
The Federal Reserve Bank of New York conducted 44 ST OMO auctions, according to its website. Banks bid the interest rate they were willing to pay for the loans, which had terms of 28 days.
Goldman borrowed $15 billion on December 30th 2008.
As for which firm owed the bank the most at one time, those honours go to Credit Suisse which owed $45 billion in loans outstanding on Aug. 27, 2008. The biggest beneficiaries of the program however were probably foreign banks.
Bloomberg says “six of the program’s top seven borrowers were units of foreign banks.”