(Bloomberg) -- Treasury Secretary Steven Mnuchin said energy companies squeezed by the oil-price war can turn to the Federal Reserve's lending facilities for aid but won't get direct loans from his department.
“I have very limited ability to do direct loans out of the Treasury,” he said Thursday at a White House news conference on Thursday.
The $2.2 trillion coronavirus-related economic package authorizes the secretary to provide loans and grants to passenger airlines, cargo airlines, contractors and companies important to national security, Mnuchin said.
Other companies must turn to the Fed, which is authorized to inject $4 trillion into the U.S. economy through various lending facilities approved by Congress.
“Our expectation is the energy companies, like all our other companies, will be able to participate in broad-based facilities, whether it's the corporate facility or whether it's the main street facility, but not direct lending out of the Treasury,” he said.
©2020 Bloomberg L.P.
Essential Business Intelligence, Sharp Market Insights, Practical Personal Finance Advice, Daily Fuel, Gold and Silver Prices and Latest Stories — On NDTV Profit.
