Biden officials say banking system can weather Silicon Valley Bank collapse
Biden officials argued that safeguards enacted after the 2008 financial crisis would protect the economy in the wake of Silicon Valley Bank closing.
WASHINGTON — Biden administration officials on Friday argued that safeguards enacted after the 2008 financial crisis would protect the U.S. economy in the wake of Silicon Valley Bank shuttering.
Treasury Secretary Janet Yellen met with banking regulators on Friday to discuss the sudden developments, according to the Treasury Department, and said the federal government was well-equipped to handle the situation.
"Secretary Yellen expressed full confidence in banking regulators to take appropriate actions in response and noted that the banking system remains resilient and regulators have effective tools to address this type of event," the department said in a readout of the meeting.
Silicon Valley Bank collapses in biggest bank failure since Great RecessionMarch 11, 202302:07Yellen met with top officials from the Federal Reserve, the Federal Deposit Insurance Corporation and the Office of the Comptroller of the Currency.
Earlier in the day, before the collapse of Silicon Valley Bank was announced, Yellen told House lawmakers during a budget hearing that "there are recent developments that concern a few banks that I’m monitoring very carefully. And when banks experience financial loss, it is and should be a matter of concern."
Rating: 5