The US Federal Reserve has said other central banks - including the European Central Bank and the Bank of England - have agreed to lend to it 'should the need arise'.
'The Bank of England, the European Central Bank, the Federal Reserve, the Bank of Japan, and the Swiss National Bank are announcing swap arrangements,' the Fed said in a statement. The Fed said these would help it to provide foreign currency to US financial institutions.
It said euro, yen, sterling and Swiss francs would be provided to the Fed through these arrangements if necessary.
It added that central banks continued to work together and were 'taking steps as appropriate' to foster stability in global financial markets.
