Watch live: Biden to comment after Silicon Valley Bank collapse

Washington — President Biden is expected to comment Monday morning on the federal government’s efforts to respond to the collapse of Silicon Valley Bank and mitigate the consequences of its abrupt failure.

The White House said the focus of Mr Biden’s remarks will be on “maintaining a resilient banking system and protecting our historic economic recovery”. He will speak at the White House before traveling to San Diego, California, for meetings with Australian Prime Minister Anthony Albanese and British Prime Minister Rishi Sunak.

Mr Biden’s speech comes after US banking regulators spent the weekend working on a plan to reassure the public about the soundness of the financial system and to limit spillovers following the closing of Silicon Valley Bank last week.

How to view President Biden’s comments

  • What: President Biden makes comments about “maintaining a resilient banking system and protecting our historic economic recovery.”
  • When: Monday March 13
  • Time: 9 a.m. ET
  • Place: The White House
  • TV: CBS channels (check your local station here)
  • Stream online: Live on CBSN in the player above or on your mobile or streaming device

California regulators closed the bank on Friday afterward depositors rushed to withdraw money last week due to balance sheet concerns, and the Federal Deposit Insurance Corporation (FDIC) was appointed as trustee.

Silicon Valley Bank, which was 40 years old and ranked as the 16th largest bank in the US, focused largely on the technology industry and was used by many start-ups and venture capital firms. It is the largest financial institution to collapse since Washington Mutual at the height of the financial crisis in 2008.

To strengthen confidence in the banking system, Officials of the Biden administration announced this on Sunday that depositors with money at Silicon Valley Bank will have access to all of their money starting Monday, and “no losses associated with Silicon Valley Bank’s resolution will be borne by the taxpayer.”

The emergency action “fully protects” all savers, according to Treasury Secretary Janet Yellen, Federal Reserve Board Chair Jerome Powell and FDIC Chair Martin Gruenberg.

The officials also revealed that there was a second bank, Signature Bank of New York closed by government agencies. All depositors of that bank will also be made healthy, bank officials said.

The Fed also announced it would create a new emergency lending program called the Bank Term Funding Program “to ensure banks are able to meet the needs of all their depositors.”

Treasury Secretary Janet Yellen has ruled out a federal bailout for Silicon Valley Bank investors. tell “Face the Nation” in an interview that “we’re not going to do that again.”

The president said in a statement on Sunday that the steps his administration and banking regulators have agreed on will protect American workers and small businesses and keep our financial system safe.”

“The solution also ensures that taxpayers’ money is not at risk,” he said. “The American people and American businesses can rest assured that their bank balances will be there when they need them.”

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