Saudi Press

Saudi Arabia and the world
Saturday, Mar 14, 2026

US Taxpayers Will Not Be Responsible For Losses From Failed Bank: Biden

US Taxpayers Will Not Be Responsible For Losses From Failed Bank: Biden

While the government is ensuring that SVB depositors get their money back, "no losses will be borne by the taxpayers," Biden said.
President Joe Biden on Monday reassured Americans that their banking system is secure in the wake of the collapse of SVB and said he wants tougher regulations to prevent future crises.

"Americans can have confidence that the banking system is safe. Your deposits will be there when you need them," Biden said in televised remarks from the White House after Silicon Valley Bank's failure and the federal takeover of a second bank.

While the government is ensuring that SVB depositors get their money back, "no losses will be borne by the taxpayers," Biden said.

"The money will come from the fees that banks pay into the deposit insurance."

Biden challenged Congress to enact more stringent regulations, saying that "tough" safeguards brought in after the 2008 financial collapse had been undone under his Republican predecessor Donald Trump.

"I'm going to ask Congress and the banking regulators to strengthen the rules for banks to make it less likely this kind of bank failure would happen again," Biden said.

He made clear he expects the consequences to fall on the shoulders of those responsible and that the government's rapid response over the weekend was not a bank bailout, as happened in 2008.

"We must get the full accounting of what happened and why, (so) those responsible can be held accountable," he said.

Not only will taxpayers not be liable for covering the deposits, but "the management of these banks will be fired," he said.

Once a bank is taken over by the government, "the people running the bank should not work there anymore."

Biden stressed that investors who bought into SVB were not getting bailed out.

"They knowingly took a risk and when the risks didn't pay off, investors lose their money. That's how capitalism works," he said.
Newsletter

Related Articles

Saudi Press
0:00
0:00
Close
Saudi Arabia Declares 2026 ‘Year of Artificial Intelligence’ in Major Push for Data-Driven Economy
Saudi Arabia’s 2018 Budget Signals Strong Push for Non-Oil Economic Growth
Pakistan Envoy in Riyadh Says Regional Diplomacy Intensifying to Prevent Wider Middle East War
Saudi Arabia Intercepts Dozens of Drones as Regional Strikes Kill Two in Oman
Saudi Arabia Redirects Oil Exports to Red Sea Ports as Strait of Hormuz Tensions Escalate
Saudi Arabia Intercepts Missile and Drone Barrage as Regional Conflict Intensifies
Iran Expands Drone and Missile Campaign Across Gulf as Conflict With US and Israel Intensifies
Muslims Worldwide Await Saudi Moon Sighting to Confirm Eid al-Fitr 2026 Date
F1 Calendar Faces Major Disruption as Middle East Conflict Threatens Bahrain and Saudi Races
Trump Says Most US Aircraft Hit in Saudi Base Attack Suffered Minimal Damage
Trump Says Most US Aircraft Hit in Saudi Base Attack Suffered Minimal Damage
Strait of Hormuz Crisis Forces Saudi Arabia Into Major Oil Production Shut-In
Strait of Hormuz Crisis Forces Saudi Arabia Into Major Oil Production Shut-In
Saudi Arabia Slashes Oil Output as Strait of Hormuz Crisis Cuts Deep Into Gulf Revenues
Saudi Arabia’s Cultural Scene Presses Ahead as Nation Navigates Regional War
Saudi-Pakistan Defence Pact Faces Real-World Constraints as Iran War Escalates
Saudi Arabia Offers Two Million Barrels of Crude From Red Sea as War Disrupts Gulf Exports
Formula One Faces Tens of Millions in Lost Revenue if Bahrain and Saudi Arabia Races Are Cancelled
Formula One Set to Cancel Bahrain and Saudi Arabian Grands Prix Amid Escalating Middle East War
Saudi Arabia Downs Dozens of Iranian Drones in Major Defensive Operation
Saudi Arabia Cuts Oil Output by About Twenty Percent as Iran War Disrupts Gulf Energy Flows
Formula One Set to Cancel Bahrain and Saudi Arabian Grands Prix Amid Escalating Iran War
Asian Energy Security Tested as Strait of Hormuz Disruption Threatens Oil Supplies
Iran Sets Three Conditions for Ending Regional War as Diplomatic Efforts Intensify
Saudi Arabia Launches Royal Institute of Anthropology to Examine Social Transformation
Pakistan’s Prime Minister Shehbaz Sharif Arrives in Saudi Arabia for High-Level Talks
Saudi Aramco Turns to Ukrainian Drone Interceptors to Shield Oil Infrastructure from Iranian Threats
UK Foreign Secretary Travels to Saudi Arabia to Reinforce Support for Regional Allies
Rising Iran Conflict Casts Shadow Over Saudi Arabia’s $38 Billion Gaming Industry Ambitions
Iran Launches Missile and Drone Strikes Across Gulf as Oil Prices Surge Past $100
Saudi Air Defences Destroy Three Drones Targeting Strategic Shaybah Oil Field
Debate Grows Over Saudi Arabia’s Role in Sudan War Amid US Alliance Questions
Pakistan’s Prime Minister Travels to Saudi Arabia After Discussions With Iranian Leadership
Two Strategic Pipelines Allow Saudi Arabia and the UAE to Bypass the Strait of Hormuz
US Deploys Bunker-Buster Bombs to UK Airbase as Iran Conflict Intensifies
Iran warns of $200 oil as forces target merchant ships in Gulf
Japan to Release 45 Days of Oil Reserves Amid Iran Conflict
Saudi Red Sea Oil Exports Set for Record in March as Kingdom Reroutes Crude Amid Hormuz Crisis
Saudi Arabia Seeks Belgian Military Support After Iranian Missile Attacks
Saudi Arabia Welcomes US Decision to Designate Sudan’s Muslim Brotherhood as Terrorist Organisation
Saudi Aramco Plans Dual Gulf and Red Sea Export Routes as Iran Crisis Disrupts Oil Shipments
Saudi Cabinet Condemns Iranian Attacks and Reaffirms Kingdom’s Right to Defend Its Sovereignty
Ukraine Deploys Counter-Drone Teams to Gulf States as Iranian Drone Threat Expands
Bahrain Grand Prix Faces Uncertainty as Saudi Arabia Works to Keep Formula One Race on Track
Saudi Arabia Faces New Strategic Dilemma in Yemen as Regional War Reshapes Calculations
OPEC Confirms Saudi-Led Oil Output Increase as Iran War Disrupts Global Energy Markets
Pakistan Pledges Rapid Support for Saudi Arabia Amid Escalating Middle East Tensions
Global Energy Agency Announces Record Release of 400 Million Barrels to Stabilize Oil Markets Amid Hormuz Disruption
Aramco Warns Global Oil Market Faces ‘Catastrophic’ Shock if Strait of Hormuz Remains Closed
Iran Launches Drone and Missile Attacks Across Gulf Targets Including Saudi Arabia, Kuwait and Bahrain
×