Fed's Rosengren says more targeted fiscal aid needed

FILE PHOTO: The Federal Reserve Bank of Boston's President and CEO Eric S. Rosengren speaks in New York, April 17, 2013. REUTERS/Keith Bedford

(Reuters) - With the pandemic lasting longer than expected, more fiscal aid is needed to keep U.S. businesses and households afloat, Boston Federal Reserve President Eric Rosengren said on Wednesday.

Some businesses that borrowed in the corporate bond market before the crisis may now face issues paying off that debt, Rosengren said during an interview with Reuters.

“It would have been fine if the pandemic lasted three months, but the pandemic isn’t lasting three months,” Rosengren said. “It’s lasting much longer than that and so there’s definitely a need for more targeted spending.”

Reporting by Jonnelle Marte; Editing by Andrea Ricci