Video: Biden wants to tighten banking rules after SVB collapse

STORY: The rules for US banks are to be tightened after the collapse of California’s Silicon Valley Bank. US President Joe Biden said so in Washington on Monday. The US government reacted quickly. Therefore, Americans should have confidence that the US banking system is secure. “But we must avoid something like this happening again,” Biden said: “I will call on Congress and banking regulators to tighten regulations for banks to reduce the likelihood of another bank failure and protect American jobs and small businesses. See, the bottom line is this. Americans can rest assured that our banking system is safe. Your deposits are safe. Let me also assure you that we will not stop, but will do whatever it takes.” The Silicon Valley Bank, which specializes in financing young technology companies, got into trouble not least because of the interest rate turnaround. Customers withdrew billions of dollars. The California regulator took action on Friday and closed the bank.


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