How Central Banks Use Credit Easing to Target Specific Markets

Monetary Policy Explained with Fexingo: Central Banks, Money Supply, and Interest Rates · Jun 2, 2026 · 10m · transcript

In Episode 27 of Monetary Policy Explained with Fexingo, Lucas and Luna break down credit easing — a lesser-known but powerful central bank tool that targets specific sectors, unlike broad quantitative easing. Using the Fed's 2020 Secondary Market Corporate Credit Facility as a case study, they explain how credit easing works, why it was controversial, and how it differs from QE. They also touch on the Bank of Japan's yield curve control and the ECB's targeted longer-term refinancing operations. Along the way, they discuss how listener support keeps the show ad-free, with a…