Small business key to recovery
(14 January 2010 – USA) Federal Reserve chairman Ben Bernanke has said that the US economy is in better shape; however a full recovery is reliant on small businesses beginning to prosper.
Mr Bernanke said that the economy in the United States is expected to expand at a healthy pace of between 3 and 4 percent in the coming year.
The Federal Reserve’s chairman urged banks to strike a balance between giving finance to deserving companies and making sure bad loans were no longer made.
Speaking as part of a panel at a small business forum, Mr Bernanke said that they want businesses that are viable and have good business plans and lots of experience backing them up to get loans.
Banks started to loosen some lending standards around mid-2010, but loans remain hard to get by historical standards making life for small businesses hard.
Mr Bernanke said that 2011 will be 'a better year for small-business lending' and noted that 'things have stopped getting worse and are getting a little better.'
The Federal Reserve’s chairman urged banks to strike a balance between giving finance to deserving companies and making sure bad loans were no longer made.
Speaking as part of a panel at a small business forum, Mr Bernanke said that they want businesses that are viable and have good business plans and lots of experience backing them up to get loans.
Banks started to loosen some lending standards around mid-2010, but loans remain hard to get by historical standards making life for small businesses hard.
Mr Bernanke said that 2011 will be 'a better year for small-business lending' and noted that 'things have stopped getting worse and are getting a little better.'
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