The US Treasury Department shared the text of Yellen’s speech at the US Senate Finance Committee session on the fiscal year 2024 budget proposal.
Making evaluations on the latest developments in the banking system in her speech, Yellen reminded that the government took “decisive and strong” steps this week to strengthen confidence in the banking system.
Yellen said that the two bankrupt banks are working with the Federal Reserve and the FDIC to protect all depositors. used the phrase.
Pointing out that shareholders and debtors are not protected by the government, Yellen emphasized that no taxpayer’s money is used or put at risk. Yellen noted that deposit protection is provided by the Deposit Insurance Fund, which is financed by fees at banks.
Pointing out that the Fed also provides additional support to the banking system with a new debt facility, Yellen said that this will help financial institutions meet the needs of all depositors.
“I can reassure committee members that our banking system remains intact and that Americans can be confident that their deposits will be there when they need it. The steps taken this week demonstrate our commitment to ensuring that depositors’ savings remain safe,” Yellen said. made its assessment.