Monday, White House National Economic Council director Larry Kudlow emphasized the importance of getting the coronavirus economic relief bill passed.
Kudlow said the Exchange Stabilization Fund will be “transparent,” shooting down the notion of it being a “slush fund,” which is what Senate Minority Leader Chuck Schumer (D-NY) and other Senate Democrats are referring to it as. He added that the money would get liquidity and credit into the economy.
“Senator Schumer should be able to come to an agreement on that,” Kudlow told Fox News Channel’s “America’s Newsroom” host Ed Henry. “That’s the ESF fund that I’m talking about. So, the nub of the whole issue is to get the Federal Reserve lending and some other things, it’s not a slush fund. Look, that will get money to small and medium-sized businesses, OK? It will also get money to key parts of the economy that are distressed. There’s nothing slush about that. It’ll all be done transparently, no question about that. But we’re going to give, you know, the direct checks to the workers that’s very, very important. We’ve helped out people that have to stay at home because of the virus, that’s very, very important. We have a loan guarantee program for small businesses, it may take a little more time, but that’s very important. We’ve got direct deposit from the IRS into individual men and women, whatever it is, 3,000 bucks a family.”
He continued, “But on this so-called slush fund, they want to be very clear, this is something that is the corner, the keystone, when we get that done and it will be transparent, the treasury will run it with the Fed, it will inject liquidity. It’s probably, Ed, the fastest way to get liquidity and credit into the economy, into all these sections. I mean the Fed’s opened it up, I’m just going to read it to you: Student loans, automobile loans, credit card loans, small business loans, money market loans, corporate bonds, this is what will keep us whole while we hope and pray that the virus flattens out in the weeks ahead.”
Kudlow also voiced his disbelief Democrats blocked the bill.
“I just can’t believe that the other side of the aisle won’t help us on this. It’s beyond my head to know that they wouldn’t help us get through,” he lamented.