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The banks have some federal requirements to lend for affordable housing.
In particular, they tend to lend for short periods and then only against collateral with a high credit rating.
But with tighter capital requirements now applicable, banks are unwilling to lend for long periods at fixed interest rates.
"Version two credit unions" are authorised to lend for up to five years, unsecured, and up to 15 years, secured.
Instead, banks saddled with bad loans are reluctant to lend for new investment, and over-indebted firms are in no mood to borrow.
Foreigners would be prepared to lend for longer periods, and they would stop worrying about the size of the current-account deficit.
Similar(27)
While banks are more open to lending for different projects and are easing some terms, their underwriting standards remain conservative.
Meanwhile, the Bank's lending priorities have changed over the past 20 years, with more support for health, governance, women and education, in addition to lending for traditional infrastructure projects.
There was a $997 million decrease in funding for Environmental Protection Agency programs to lend out for water-restoration projects.
It seems what the politicians really want is for the banks to lend money for free.
With banks still largely unwilling to lend money for large projects, Mr. Barnett went to Abu Dhabi for partners and financing.
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