Policy Tools
Money Market Mutual Fund Liquidity Facility
The Federal Reserve established the Money Market Mutual Fund Liquidity Facility, or MMLF, on March 18, 2020, to broaden its program of support for the flow of credit to households and businesses. The Federal Reserve Bank of Boston made loans available to eligible financial institutions secured by high-quality assets purchased by the financial institution from money market mutual funds. Money market funds are common investment tools for families, businesses, and a range of companies. The MMLF assisted money market funds in meeting demands for redemptions by households and other investors, enhancing overall market functioning and credit provision to the broader economy. The MMLF ceased extending credit on March 31, 2021.
- Frequently Asked Questions (FAQs) (May 26, 2020) (PDF)
- MMLF Request Form (March 25, 2020) (Excel)*
- Agreements and documents
- Term Sheet (November 30, 2020) (PDF)
Reports to Congress
- Periodic Report: Update on Outstanding Lending Facilities Authorized by the Board under Section 13(3) of the Federal Reserve Act (PDF) (May 10, 2021)
- Periodic Report: Update on Outstanding Lending Facilities Authorized by the Board under Section 13(3) of the Federal Reserve Act (PDF) (April 12, 2021)
- Periodic Report: Update on Outstanding Lending Facilities Authorized by the Board under Section 13(3) of the Federal Reserve Act (PDF) (March 11, 2021)
- Periodic Report: Update on Outstanding Lending Facilities Authorized by the Board under Section 13(3) of the Federal Reserve Act (PDF) (February 9, 2021)
- Periodic Report: Update on Outstanding Lending Facilities Authorized by the Board under Section 13(3) of the Federal Reserve Act (PDF) (January 11, 2021)
Archive:
Related Press Releases
- Federal Reserve Board announces extension through March 31, 2021, for several of its lending facilities that were generally scheduled to expire on or around December 31
(November 30, 2020) - Federal Reserve Board announces an extension through December 31 of its lending facilities that were scheduled to expire on or around September 30 (July 28, 2020)
- Federal bank regulatory agencies modify liquidity coverage ratio for banks participating in Money Market Mutual Fund Liquidity Facility and Paycheck Protection Program Liquidity Facility
(May 5, 2020) - Federal Reserve announces extensive new measures to support the economy
(March 23, 2020) - Federal Reserve Board expands its program of support for flow of credit to the economy by taking steps to enhance liquidity and functioning of crucial state and municipal money markets
(March 20, 2020) - Federal Reserve Board broadens program of support for the flow of credit to households and businesses by establishing a Money Market Mutual Fund Liquidity Facility (MMLF)
(March 18, 2020)
*On March 23, 2020, the MMLF collateral spreadsheet was updated to (1) add two MMMF identifiers; and (2) explicitly provide that an individual authorized pursuant to the Borrower's board resolution is requesting an advance in accordance with the MMLF terms and conditions.”