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No federal bailout for Silicon Valley Bank: US Treasury Secretary


Days after the collapse of Silicon Valley Bank, US Treasury Secretary Janet Yellen has said the federal government will not bail out the company. However, amid growing fears that some workers across the country will not receive their paychecks, the top official assured that he was working to help concerned savers.

“We’re not going to do that again,” she said, emphasizing that the current situation was different from the financial crisis nearly 15 years ago.

“But we are concerned about depositors and we are focused on meeting their needs… The US banking system is really safe and well capitalized. It’s resilient,” she added in an interview with CBS’s Face the Nation show.

READ ALSO: SVB crisis hits over 10,000 startups, leads to 1 lakh layoffs: Y Combinator

Yellen also tried to reassure Americans that there will be no domino effect after the collapse of Silicon Valley Bank.

More to come…

Joanna Swanson

Joanna Swanson is Europe correspondent at the Thomson Reuters Foundation based in Brussels covering politics, culture, business, climate change, society, economies and inclusive tech. With specific focus in breaking news, she has covered some of the world's most significant stories.