News
Latest News
news bulletin
Breaking Headlines
Israel-Gaza War Updates
Variety and Tech
Sports News
Middle East News
World News
Lebanon News
Press Highlights
Lebanon Economy
News Bulletin Reports
Other News
Breaking Headlines
Israel-Gaza War Updates
Variety and Tech
Sports News
Middle East News
World News
Lebanon News
Press Highlights
Lebanon Economy
News Bulletin Reports
Beirut
27
o
Bekaa
22
o
Keserwan
27
o
Metn
27
o
Mount Lebanon
23
o
North
28
o
South
25
o
Live
Video
Audio
Schedule
shows
العربية
watching now
Kaser Adem - Al Saradib
SUBSCRIBE
Home
Notification
Live
Video
Audio
shows
Beirut
27
o
Bekaa
22
o
Keserwan
27
o
Metn
27
o
Mount Lebanon
23
o
North
28
o
South
25
o
News
Programs
The News
Breaking Headlines
Israel-Gaza War Updates
Variety and Tech
Sports News
Middle East News
World News
Lebanon News
Press Highlights
Lebanon Economy
News Bulletin Reports
Programs
Series
Movies
Documentaries
Variety
Comedy
Talk Show
News Bulletin
Sports
Breaking News
Latest News
Highlighted News
Most Read
Videos
العربية
Watch the latest programs and the latest developments on your favorite screen
Shows
Join millions of followers
Who We Are
Contact Us
Advertise With Us
Careers
Channel frequencies
Privacy Policy
Terms and Conditions
Biden says US banking system is safe after SVB, Signature collapse
World
13-03-2023 | 09:45
High views
Share
Share
4
min
Biden says US banking system is safe after SVB, Signature collapse
President Joe Biden declared the US banking system "safe" and vowed stiffer bank regulation, after US regulators were forced to step in with a series of emergency measures after Silicon Valley Bank (SIVB.O) and Signature Bank (SBNY.O) collapse, threatening to trigger a broader crisis.
"Americans can have confidence that the banking system is safe. Your deposits will be there when you need them," Biden said.
The managers of the banks will be fired, Biden noted, and investors will lose money. "They knowingly took a risk, and when the risk didn't pay off his adjusters lose their money. That's how capitalism works," he said.
Biden also promised new regulation after the biggest US bank failure since the 2008 financial crisis.
"I'm going to ask Congress and the banking regulators to strengthen the rules for banks to make it less likely this kind of bank failure will happen again, and to protect American jobs as a small business," he said. Biden faces a divided Congress unlikely to approve tougher new rules.
His economic team worked with regulators over the weekend on the measures, which included guaranteeing deposits in both banks, setting up a new facility to give banks access to emergency funds and making it easier for banks to borrow from the Federal Reserve in emergencies.
The moves sent waves of relief through Silicon Valley but a relief rally was short-lived as the crisis tested confidence in the US financial system and fears remained that the fallout would roil global markets in the week to come.
Bank shares in Europe and Asia sank on Monday before the US market's opening, while US stock index futures were down even as some investors bet on a pause in interest rate hikes by the Federal Reserve. S&P 500 futures were down 0.7% and appeared to take little comfort in Biden's remarks, which largely tracked his earlier written statement.
The US Federal Deposit Insurance Corporation on Monday said it had transferred all Silicon Valley Bank (SIVB.O) deposits to a newly created bridge bank and that all depositors would have access to their money beginning Monday morning.
Rules introduced after US banks sparked a global financial crisis in 2008 with aggressive mortgage lending were partially repealed in 2018 under former President Donald Trump.
The changes to the Dodd-Frank Act, pushed by Republicans, raised the threshold at which banks are considered systemically risky and subject to stricter oversight to $250 billion from $50 billion. Silicon Valley bank had $209 billion in assets at the end of last year.
Biden, a Democrat, faces a divided Congress after Republicans took control of the House of Representatives in January, and new US bank regulations could be a tough sell.
"The prospect of legislation in this polarized political world is very low," John Coffee, a professor at Columbia Law School, told Reuters.
"The real problem here is that banks that are holding illiquid loans or securities on a hold-to-maturity basis do not have to mark them down even though they have a market value well below their balance-sheet value. But when (SVB) sold some of these and revealed their loss, they created some panic."
Senator Tim Scott, a Republican from South Carolina who sits on the Senate's banking, housing and urban affairs committee, said it was important to bring markets to a "calm and orderly resolution," but warned against too much intervention.
"Building a culture of government intervention does nothing to stop future institutions from relying on the government to swoop in after taking excessive risks," Scott said in a statement, adding he was committed to bringing accountability for the crisis.
"We deserve to know what exactly happened and why," Scott said.
Reuters
Biden
US
Banking
System
Safe
SVB
Signature
Collapse
Economy
Subscribe to our VOD
SUBSCRIBE
Our visitors readings
d-none hideMe
0
Lebanon News
10:10
Lebanon's Press Club condemns assault on journalist Petra Abou Haidar, calls for accountability
Lebanon News
10:10
Lebanon's Press Club condemns assault on journalist Petra Abou Haidar, calls for accountability
0
Lebanon News
08:53
Israeli airstrikes kill 12 in Lebanon's Bekaa, including Syrian refugees
Lebanon News
08:53
Israeli airstrikes kill 12 in Lebanon's Bekaa, including Syrian refugees
0
Middle East News
13:10
Syria condemns Israeli strikes, holds Israel responsible for 'consequences'
Middle East News
13:10
Syria condemns Israeli strikes, holds Israel responsible for 'consequences'
0
Lebanon News
2025-07-07
Lebanese Army sends helicopters to assist in extinguishing Syria wildfires
Lebanon News
2025-07-07
Lebanese Army sends helicopters to assist in extinguishing Syria wildfires
Videos
d-none hideMe
0
Lebanon News
08:59
Pregnant journalist Petra Abou Haidar attacked in road rage assault
Lebanon News
08:59
Pregnant journalist Petra Abou Haidar attacked in road rage assault
0
Lebanon News
2025-07-01
Massive fire erupts at unregulated dumpsite in Bchannine, Zgharta district
Lebanon News
2025-07-01
Massive fire erupts at unregulated dumpsite in Bchannine, Zgharta district
0
Lebanon News
2025-06-10
Clash between Lebanese Army and residents of Deir Qanoun Al Nahr results in injuries (Video)
Lebanon News
2025-06-10
Clash between Lebanese Army and residents of Deir Qanoun Al Nahr results in injuries (Video)
0
Lebanon News
2025-06-04
Mexico dedicates garden around Lebanese Emigrant Statue in Beirut to mark 80 years of diplomatic ties
Lebanon News
2025-06-04
Mexico dedicates garden around Lebanese Emigrant Statue in Beirut to mark 80 years of diplomatic ties
0
Lebanon News
2025-05-19
President Aoun to seek Egyptian support for Lebanese Army in detecting explosives and tunnels
Lebanon News
2025-05-19
President Aoun to seek Egyptian support for Lebanese Army in detecting explosives and tunnels
0
Lebanon News
2025-05-15
LBCI Exclusive: US steps up pressure on Hezbollah, Morgan Ortagus details sanctions and vision for Lebanon's future
Lebanon News
2025-05-15
LBCI Exclusive: US steps up pressure on Hezbollah, Morgan Ortagus details sanctions and vision for Lebanon's future
0
Lebanon News
2025-05-11
Kuwait rolls out official welcome for Lebanon's President Aoun – video
Lebanon News
2025-05-11
Kuwait rolls out official welcome for Lebanon's President Aoun – video
0
Lebanon News
2025-05-11
Security incidents temporarily disrupt voting in several Akkar and Minieh-Danniyeh centers
Lebanon News
2025-05-11
Security incidents temporarily disrupt voting in several Akkar and Minieh-Danniyeh centers
0
News Bulletin Reports
2025-05-09
EU ambassador says 'we are not just donors, but genuine partners to Lebanon': Insights from exclusive LBCI interview
News Bulletin Reports
2025-05-09
EU ambassador says 'we are not just donors, but genuine partners to Lebanon': Insights from exclusive LBCI interview
Most read
d-none hideMe
24 hours
7 days
Month
1
Lebanon News
08:59
Pregnant journalist Petra Abou Haidar attacked in road rage assault
Lebanon News
08:59
Pregnant journalist Petra Abou Haidar attacked in road rage assault
2
Lebanon News
08:53
Israeli airstrikes kill 12 in Lebanon's Bekaa, including Syrian refugees
Lebanon News
08:53
Israeli airstrikes kill 12 in Lebanon's Bekaa, including Syrian refugees
3
Lebanon Economy
07:05
Lebanon's central bank bans interactions with Hezbollah's Al-Qard Al-Hassan: Circular
Lebanon Economy
07:05
Lebanon's central bank bans interactions with Hezbollah's Al-Qard Al-Hassan: Circular
4
Lebanon News
10:10
Lebanon's Press Club condemns assault on journalist Petra Abou Haidar, calls for accountability
Lebanon News
10:10
Lebanon's Press Club condemns assault on journalist Petra Abou Haidar, calls for accountability
5
Lebanon News
07:15
Lebanese Army arrests 144 Syrians for illegal entry, detains multiple Lebanese suspects in raids
Lebanon News
07:15
Lebanese Army arrests 144 Syrians for illegal entry, detains multiple Lebanese suspects in raids
6
Lebanon News
03:42
Airstrikes hit Bodai as Israel targets alleged Hezbollah positions in Bekaa
Lebanon News
03:42
Airstrikes hit Bodai as Israel targets alleged Hezbollah positions in Bekaa
7
News Bulletin Reports
12:48
Inside Lebanon's biggest drug lab: Lebanese Army tightens grip on Bekaa drug lords
News Bulletin Reports
12:48
Inside Lebanon's biggest drug lab: Lebanese Army tightens grip on Bekaa drug lords
8
Lebanon News
04:44
Israeli defense minister says strikes under way in Lebanon are 'clear message' to Hezbollah
Lebanon News
04:44
Israeli defense minister says strikes under way in Lebanon are 'clear message' to Hezbollah
Download now the LBCI mobile app
To see the latest news, the latest daily programs in Lebanon and the world
Google Play
App Store
We use
cookies
We use
cookies
to make
your experience on this
website better.
Accept
Learn More