After scrutiny, Federal Reserve announces public disclosure plan for trillions in lending

Media Contacts
R.J. Cross

New Economy, Advocate, PIRG; Policy Analyst, Frontier Group

U.S. PIRG

WASHINGTON – The Federal Reserve announced Thursday that it would publicly disclose online the identities of companies receiving federal loans for the coronavirus (COVID-19) crisis and the terms of those deals. This is a significant change in policy for the Federal Reserve, which has historically disclosed very little to the public about its actions. 

In response, U.S. PIRG Tax and Budget advocate R.J. Cross released the following statement:

“The Federal Reserve’s commitment to publish the names of those corporations receiving assistance under its emergency programs monthly is a win for American taxpayers. With the Fed already leveraging the $454 billion bailout fund in the CARES Act into as much as $4.5 trillion in lending, its decision to open the books comes not a moment too soon. 

Sunshine is the best disinfectant, and exposing the names of corporate bailout recipients to the light of day will help ensure that this massive program doesn’t become a special interest free-for-all. 

Ultimately, all money lent and spent should be disclosed online where Americans can see it. We will have to wait and see how comprehensive and detailed the Fed’s public reports are. But the announcement today is a strong step in the right direction. The biggest bailout in U.S. history deserves the most transparency in U.S. history. We’re glad the Federal Reserve seems to agree.”