The Federal Reserve unveiled two standing repo facilities today (July 28), alongside a monetary policy decision that kept the central bank’s main policy levers unchanged.

Chair Jerome Powell said the Fed had decided to create the standing facilities as a backstop for market liquidity in the US. The facilities will be available to primary dealers in the US and to foreign central banks. The latter makes permanent the ‘Fima’ facility created during the Covid-19 shock.

The primary dealer facility