The New York Fed's Open Market Desk engages in trades on behalf of the Federal Reserve System to implement monetary policy. 2  BIS Review 34/2009  These credit-easing programs, along with actions taken by the Treasury and other government entities, are crucial determinants of the timing and strength of the economic recovery.
To start with, it is important for banks to understand the mode of operation of SMEs and develop innovative financial services that suit those peculiar needs. Typically, SMEs have weak competencies in financial management and they operate with low levels of productive capital which heightens their risk levels.