This means that banks can
lend governments money with little fear that they will not be repaid.
You lend the government money when you buy a Treasury security.
European powers such as Germany, Spain and Italy plunged into renewable energy development,
lending government money and providing subsidies to encourage expansion, at times of strong economic growth - only to find the currently economically inefficient systems draining government coffers and propping up unsustainable industries.
Not exact matches
By making
lending cheaper, consumers, corporations and
governments would be able to borrow
money inexpensively and put those dollars back into the economy, whether by buying goods or investing in businesses.
When you buy bonds from a corporation,
government or other entity, you're
lending money to be paid back with interest at a specified time.
On Monday, the China Securities Finance Corporation, a
government agency that
lends money to brokerage houses, said it would continue buying stocks to help prop up the market, according to the state news agency Xinhua.
The IMF is expected to
lend the Baltic, central European and other debtor - country
governments money to pay them.
The pretense is that the banks are going to turn around and
lend out this
government money is going to help the economy at large.
But mostly what we do is actually something called a repo, which is we
lend or borrow
money from the banking system against collateral (normally a
government security), but also bank paper as well.
The
government is to
lend the «threatened neighbors» enough
money so that credit customers of the financial «house on the hill» can to pay it the stipulated interest charges they owe.
The central bank prints
money,
lends it to the
government, and the
government sooner or later spends it (or uses it to cut taxes or increase transfer payments).
This is why having the central bank
lend money directly to the
government is a bad idea.
Second, anyone who
lends money to those
governments should know those risks and price their loans accordingly.
Before this, the publicly - owned Bank of Canada had a mandate and practice of
lending interest - free
money to federal, provincial, and municipal
governments for infrastructure and healthcare spending;
The
government does not actually
lend money to borrowers.
You've got to sacrifice Greece and you've got to drive it into poverty, and
lend the Greek
government the
money to pay the bond holders so that our Wall Street banks won't lose
money.
• Counter-cyclical, meaning they are capable of reducing the negative impact of recessions, because they can make
money available for local
governments and businesses precisely when private banks decrease
lending.
The credit either can come from
governments running a budget deficit and pumping
money into the economy, or it can come from bank
lending.
Its goal was to
lend money to
governments or to
government - supported institutions for projects that would be sufficiently profitable that the loan could be repaid and the national economy enriched.
The ubiquity of fiat
money (
money created by
governments and through the credit system) and the expectation of fairly steady economic growth seem to invalidate many of the objections to
lending at interest.
When
governments are unable to repay, the IMF
lends them
money by which the repayments can be made.
The man, who is suspected to have leveraged his relationship with
government to get the deal in which the
government of Ghana
lends him
money to enable him do supplies to Cocobod, is reported to have claimed in a radio interview that he does not have a supply contract with Cocobod.
So China actually does stop
lending money to the United States, and it did not really seem to hurt the popularity of US
government bonds much.
I know that the population of Greece is much less than in the U.S., however I do not think it matters to people «
lending»
money to the
governments This is where you are mistaken.
Policy - makers need to consider carefully the cumulative price tag of all the demands the
government is placing on the banking sector - and remember that
money spent, or tied up, can not be
lent out to businesses and individuals.
I know that the population of Greece is much less than in the U.S., however I do not think it matters to people «
lending»
money to the
governments
I know that the population of Greece is much less than in the U.S., however I do not think it matters to people «
lending»
money to the
governments - In both cases it seems extremely unlikely that this
money will ever be refunded.
As a result of
government's refusal to borrow locally,
monies are available for
lending to individuals thereby driving down interests rates.
Four, the current administration should reduce local borrowing in order not to be in competition with the private sector because the banks prefer to
lend money to the
government than the private sector and that will further run down our economy.
Government also emphasised that the proposed N20b bond was a strong indication that the state economy was robust as no bank will
lend money without demonstration of proven capacity to repay.
QE is particularly harsh to savers who were kind enough to
lend their
money to their
government in difficult times.
In the Commons he asked: «Can the prime minister confirm that the
Government have now
lent # 24 billion of taxpayers»
money to that small mortgage bank?
Picking your bond will depend on the yield, the maturity date, and, of course, the company or
government you're
lending your
money to.
Had you kept the
money for yourself rather than
lending it to the
government, you could have used it to invest or pay down debts, bettering your finances.
So, you can think of them as a contract between a local or state
government and people that
lend them
money.
U.S. Bond — a kind of investment in which you
lend money to the
government for a certain amount of time and at a certain interest rate.
Bond — an IOU issued by a corporation or
government that confirms you are
lending the corporation or
government money.
By investing in a bond, you are
lending money to a company or
government at a guaranteed interest rate.
When you purchase a municipal bond, you are
lending money to a state or local
government entity, which in turn promises to pay you a specified amount of interest and return the principal to you on a specific maturity date.
You are
lending money out (via the bond) and the borrower (issuing company or
government) pays you interest.
When you buy a bond, you are in effect
lending a company or the
government, referred to as the bond issuers, some
money for a specific period of time, typically anywhere from less than one year to 20 years.
So when you buy a US Savings Bond, for example, you are
lending money to the US
Government.
The UK Debt Management Office (DMO) is an Executive Agency of HM Treasury and is responsible for
lending money to local authorities and managing public sector funds for the UK
Government.
The
government does not
lend money directly to borrowers.
DEFINITION: Buying a bond means an investor is
lending money to a corporation or
government obligating them to pay the investor a certain amount of interest at specific intervals.
Loan Program A federal program in which the
government lends money at preannounced rates to farmers and allows them to use the crops they plant for the upcoming crop year as collateral.
Under the Troubled Asset Relief Program, banks were instructed to use the
government money primarily for
lending purposes.
However, the
government doesn't actually
lend the
money, rather they guarantees repayment to the lender and insures losses that may be incurred if a loan goes into default and subsequent foreclosure.
USDA home loans come in two varieties — the Guarantee program, in which private lenders fund the mortgages at market interest rates, and the Direct program, in which the
government itself
lends the
money at below - market rates.
Bonds represent
money investors have
lent to corporations or
government entities.