© Reuters. FILE PHOTO: A Silicon Valley Bank employee tapes a press release about the FDIC’s decision to protect the bank’s depositors to the windows of the SVB branch office in downtown San Francisco, California, U.S., March 13, 2023. REUTERS/Kori Suzuki/File Photo
WASHINGTON (Reuters) – The Federal Reserve Board’s independent review of Silicon Valley Bank’s collapse reinforces the need for “the commonsense regulatory and supervisory reforms” that President Joe Biden has advocated, White House spokesperson Michael Kikukawa said on Friday.
“The weakening of safeguards and supervision for large regional banks in the previous administration should be reversed to strengthen the banking system and protect American jobs and small businesses,” he added.
The Fed on Friday published a detailed and scathing assessment of its failures to identify problems and push for fixes at SVB before the bank collapsed on March 10, and called for stricter rules for banks.