No Government Bailout for Silicon Valley Bank, Janet Yellen Confirms
The U.S. government will not bail out Silicon Valley Bank, Treasury Secretary Janet Yellen confirmed.
Since the Federal Deposit Insurance Corporation (FDIC) took over SVB, there has been rampant speculation that the federal government would consider bailing out the major capital lender for startups.
But Yellen told CBS’ “Face the Nation” that this option is not on the table.
“Let me be clear that during the financial crisis, there were investors and owners of systemic large banks that were bailed out, and the reforms that have been put in place means that we’re not going to do that again,” she said on Sunday. “But we are concerned about depositors and are focused on trying to meet their needs.”…