GE Capital said it received approval for the Federal Deposit Insurance Corporation's temporary liquidity guarantee program under which the government guarantees certain banking debt.
GE Capital can issue up to $139 billion of government guaranteed debts, the unit of General Electric said in a statement. The program will be effective on or before Nov. 14.
"This will allow us to source our debt competitively,” the company said.
GE owns two banks under GE Capital.
It is unclear whether GE Capital is the first non-bank finance institution approved under this government guarantee program.
GE is the parent company of CNBC.
Cost of Insuring GE's Debt Drops
The cost of insuring GE's debt with credit-default swaps fell after reports of the FDIC move. The price to insure $10 million of GE debt for five years with credit-default swaps fell to $395,000 annually, down 7 percent from $425,000 earlier.