Yesterday, the Federal Reserve announced a new lending facility to bail out the depositors of Silicon Valley Bank – the largest bank to collapse since the 2008 financial crisis. Groundwork’s Executive Director Lindsay Owens issued the following statement:
“This weekend, the Federal Reserve moved mountains to protect wealthy venture capitalists from the fallout of its aggressive interest rate hikes. Today, the Fed will return to its core work of pushing hardworking Americans out on the street to meet its inflation goals.
“The Federal Reserve is irreparably broken and can no longer be trusted to go it alone on monetary policy. As Congress works to re-regulate mid-size banks after the misguided 2018 rollbacks that set this weekend’s crisis in motion, they should also address the rot at the Fed.”