Congressman French Hill (R, Dist. 2) says
“The recent failures of Silicon Valley Bank in California and Signature Bank of New York were a wake-up call to the banking industry. However, both here in Arkansas and throughout America, we have a safe and sound banking system with good capital, good earnings and generally good liquidity planning – all of which have been clear over the past decade.
“With interest rates low at zero and then sharply increasing to fight inflation, some management teams at banks were not prepared for handling that in the right way. As a result, we may have bumps in the road.
“As Vice-Chairman of the House Financial Services Committee, I look forward to the Committee conducting oversight to investigate the collapse of these banks and take a closer look at both the management, as well as the state and federal supervisory failures, that contributed to this unfortunate situation.
“I recently joined Bloomberg to discuss the collapse of SVB and my analysis of the debacle (begins at 1:58:45):”
