WASHINGTON - The Municipal Securities Rulemaking Board this week called for the Treasury Department to extend the termination date for its $50 billion temporary guarantee program for money market mutual funds to Sept. 18 from April 30.

In a two-page letter released late Tuesday, the board stressed that the program is vitally important to tax-exempt money market funds and their customers, as well as for banks that have contractually agreed to maintain liquidity in the roughly $400 billion market for municipal variable-rate demand obligations.

Subscribe Now

Independent and authoritative analysis and perspective for the bond buying industry.

14-Day Free Trial

No credit card required. Complete access to articles, breaking news and industry data.