Joint Statement by the Department of the Treasury, Federal Reserve, and FDIC

The U.S. Department of the Treasury (USDT), the Federal Reserve Board (FED), and the Federal Deposit Insurance Corporation (FDIC) have published a joint statement in which the three regulators affirm their commitment to maintain financial market stability in the U.S. in view of or following the recent bank failures of the Silicon Valley Bank and the Signature Bank. Additionally, the regulators confirm that ALL deposits in named institutions are safe and will be made whole. However, „shareholders and certain unsecured debtholders“ of the failing institutions will NOT be protected.
Moreover, the USDT, FED, and the FDIC announce the launch of a new liquidity program available for qualifying financial institutions „to help assure banks have the ability to meet the needs of all their depositors“. Please refer to EventID 20009 in this context for more information on the program.
Finally, the regulators again emphasize that the U.S. financial market is and remains robust thanks to the measures that have been taken in the past following the financial crisis in 2008 and 2009.