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Fed discount window borrowing topped $110-bin at crisis peak.

During the height of the financial crisis, banks around the world lined up to borrow money from the discount window of the Federal Reserve.<span style="mso-spacerun: yes;"> </span>In the few months before and after Lehman Brother's collapse on Sept. 15, 2008, billions were lent out.

The Federal Reserve just released the data of the loans made during that period; it's taking some time for analysts to parse through it.<span style="mso-spacerun: yes;">&nbsp; </span><span style="mso-spacerun: yes;">&nbsp;</span>

Below are details that have emerged so far.

- Lending peaked at $110 billion on October 29, 2008 (Source: WSJ)

- On October 29, 2008, European banks Dexia SA borrowed $26.5 billion and Depfa Bank borrowed $24.6 billion (Source: WSJ)

- On October 29, 2008, Societe Generale borrowed $5 billion (Source: Bloomberg)

- On October 29, 2008, Norinchukin Bank borrowed $6 billion (Source: Bloomberg)

- On October 24, 2008, Dexia SA borrowed $31.5 billion (Source: Bloomberg)

- On October 6, 2008, Wachovia Corp borrowed $29 billion (Source: WSJ)

- JPMorgan Chase borrowed at least $5.9 billion in a six-month period (Source: Bloomberg)

- Arab Banking Corp, which was 30 percent owned by the Central Bank of Libya, borrowed $100 million in September 2008 (Source: WSJ)

- First City Bank in Fort Walton Beach, Fla., borrowed just $1,000 (believed to be the smallest amount borrowed) in October 2008 and repaid the loan the next day (Source: NYTimes)

- Some major Wall Street firms like Goldman Sachs and Morgan Stanley borrowed relatively small amounts (in the hundreds of millions) because they accessed government capital from other bailout programs

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Publication:International Business Times - US ed.
Date:Apr 1, 2011
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