On March 13th, 2023, President Joe Biden made a statement regarding the recent problems related to banking system such as at Silicon Valley Bank and Signature Bank. He expressed his satisfaction that Treasury Secretary and his National Economic Council Director had worked diligently with banking regulators to address these issues, ensuring that American workers and small businesses are protected, and the financial system remains safe.
The President also announced his firm commitment to holding those responsible for the mess fully accountable and continuing efforts to strengthen oversight and regulation of larger banks to prevent a similar situation from happening again.
President Obama and I put in place tough requirements on banks to make sure the 2008 crisis wouldn’t happen again.
— President Biden (@POTUS) March 13, 2023
The last Administration rolled many of them back.
Americans should have confidence that our banking system is safe, and we're taking action to make it stronger. pic.twitter.com/F3hnWl6L8K
In the tweets that followed, the President emphasized the importance of reducing the risk of bank failure and protecting American jobs and small businesses. He also announced his intention to ask Congress and banking regulators to strengthen the rules for banks to make it less likely that this kind of bank failure happens again.
Small businesses across the country that had accounts at Silicon Valley Bank and Signature Bank can breathe easier knowing they will be able to pay their workers.
— President Biden (@POTUS) March 13, 2023
It won't cost taxpayers a dime.
This is paid for with the fees that banks pay into the Deposit Insurance Fund. pic.twitter.com/1rv949k3X5
In addition to his statement, President Biden also took to Twitter to address the situation and reassure the American public. He highlighted the actions that the Treasury Secretary and National Economic Council Director had taken to address the problems at Silicon Valley Bank and Signature Bank, and expressed his satisfaction with the prompt solution that had been reached.
Strengthen Confidence in the Banking System
Furthermore, he emphasized the importance of maintaining a resilient banking system to protect the historic economic recovery that the country has been experiencing. He mentioned the tough requirements that he and President Obama had put in place to prevent another financial crisis like the one in 2008, and criticized the previous administration for rolling back some of those requirements.
President Biden also promised to ask Congress and banking regulators to strengthen the rules for banks to make it less likely that this kind of bank failure happens again. He stressed the need to protect American jobs and small businesses, and expressed his commitment to holding those responsible for the situation fully accountable.
Overall, President Biden’s statement and tweets aim to reassure the American people that their bank deposits are safe, and that the government is taking action to strengthen oversight and regulation of larger banks. The prompt solution reached by the Treasury Secretary and National Economic Council Director indicates the government’s commitment to protecting American workers, small businesses, taxpayers, and the financial system as a whole.
The President’s direction to protect depositors from Silicon Valley and Signature Banks means that American people and businesses can have confidence that their bank deposits will be there when they need them, at no cost to the taxpayer. The President will have more to say on this matter tomorrow morning, emphasizing the importance of maintaining a resilient banking system to protect the country’s historic economic recovery.