Central Banks May Accept Foreign-Currency Assets, Nikkei Says
Central banks including the U.S. Federal Reserve may begin accepting assets denominated in foreign currencies as collateral to increase liquidity in the world's financial markets, the Nikkei newspaper said.
Six central banks including the Fed, European Central Bank, Bank of Japan and Bank of England are discussing the plan, Nikkei reported today without saying where it got the information or naming the other two banks get a free credit report.
Central bankers struggled to restore confidence in markets last week as banks hoarded money on concern more financial companies will follow Lehman Brothers Holdings Inc. into bankruptcy.