The White House defended this Monday that the current situation with the fall of the banks Silicon Valley Bank (SVB) and Signature Bank is very different from the one experienced in 2008 with a financial crisis that originated from the collapse of the US housing bubble.
“This is not 2008,” White House spokeswoman Karine Jean-Pierre repeated several times in statements to the press aboard Air Force One.
The spokeswoman rejected criticism from some members of the Republican opposition, such as the controversial far-right legislator Marjorie Taylor Greene, who has accused the Joe Biden government of bailing out the banks and forgetting about the Americans.
The leadership of the Republican Party in Congress, however, has not positioned itself on the decisions made by the president after the closure of the banks.
On Sunday night, the Departments of the Treasury, the Federal Reserve (Fed) and the Federal Deposit Insurance Corporation (FDIC) announced a plan to protect the deposits of Silicon Valley Bank of California and Signature Bank of New York.
The money that will be used to guarantee the deposits of these institutions will come from a guarantee fund to which US banks contribute and will not be financed with taxpayer money, something that the spokeswoman for the White House.
In response to the 2008 crisis, then-President George W. Bush (2001-2008) approved a $700 billion bailout for banks and other financial sector services.
EFE
