US President George W.
Bush has introduced a plan to invest up to $250 billion in American banks in an effort to head off a deepening of the present financial crisis. The move is contrary to basic American fiscal philosophy and US Treasury Secretary Henry Paulson described the measure as "objectionable", yet regrettably necessary. The US Treasury will buy non-voting preferred shares in a number of major financial institutions. Bush defended the move, saying that it was not intended to take over the free market but to preserve it. This latest rescue package echoes plans similar to those unveiled by a number of European governments over the past few days. Bush will host French President Nicolas Sarkozy and EU Commission chief Jose Manuel Barroso at Camp David on Saturday for crisis talks.
(Deutsche Welle)
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