NEW YORK May 15 A top U.S. Federal Reserve
official on Thursday lauded the economic benefits of small
businesses and cited demand and their limited funding needs as
reasons that loans from banks remain flat.
"We recognize that a thriving small business sector benefits
all of us," William Dudley, president of the New York Fed, said
at a funding conference.
But "small loans from banks remain flat, partly due to
reduced demand from businesses ... however it also may be
related to a particular type of credit that small businesses
need," typically loans of $100,000 or less, he said.
Dudley did not comment on monetary policy or the U.S.
(Reporting by Jonathan Spicer; Editing by James Dalgleish)