US Considers Additional Bank Support Amid First Republic's Balance Sheet Concerns

US authorities are reportedly considering expanding an emergency lending facility to offer more support to banks, which could give First Republic Bank more time to shore up its balance sheet. While any changes to the Fed's liquidity offerings would apply to all eligible users, the adjustments could be designed to ensure that First Republic benefits from the changes. Earlier this month, the US President's economic team worked with regulators to set up measures to support the banking system, including a new facility to give banks access to emergency funds and making it easier for banks to borrow from the Fed in emergencies.