Mnuchin Says Main Street US Companies Need Grants, Not Loans

Treasury Secretary Steven T. Mnuchin speaks during the Senate's Committee on Banking, Housing, and Urban Affairs hearing examining the quarterly CARES Act report to Congress, in Washington, on Sept. 24, 2020. Toni L. Sandys/Pool via Reuters

Treasury Secretary Steven Mnuchin on Friday defended his decision to end several of the Federal Reserve’s key pandemic lending programs on Dec. 31, saying Congress should use the money to help small U.S. companies with grants instead.

Federal Reserve Chairman Jerome Powell and Chicago Federal Reserve Bank President Charles Evans have criticized the Treasury move, saying the programs—while not being used extensively—provided an important backstop for the economy.