Fed plan not enough: Analysts

The US Federal Reserve's $200 billion lending plan unveiled on Tuesday may calm panicked markets for a while, but more is needed to help cushion the credit crisis, economists said.

In the latest effort to ease the credit crunch that has disturbed global finance, the US Federal Reserve, along with four other central banks, announced a series of measures to boost liquidity by allowing financial firms to use securities backed by home mortgages as collateral for central bank loans.

Economists hailed the Fed move, the second time in three months that central banks from around the globe had launched coordinated efforts, as a step in the right direction that will help ease anxiety and keep confidence in the market.