Financial Plan Details Yet To Be Worked Out
Financial Plan Details Yet To Be Worked Out
http://www.latimes.com/news/nationworld/nation/la-na-fraud12-2009feb12,0,3435565.story
Treasury Secretary Timothy Geithner has rightly said that he needs some time to work out the details of the financial rescue package. This will help avoid any mistakes. US markets have, however, not given a warm welcome to the initial announcement of the rescue plan. The Obama administration is trying to rebuild the credibility of the Treasury’s financial rescue plan. Geithner’s predecessor Henry Paulson had to abandon the earlier plans of buying the toxic securities choking the country’s banking system in favor of buying stakes in lenders. Geithner’s plan proposes injection of fresh government capital into some financial institutions, purchase of toxic assets worth $1 trillion and promote lending through a credit facility with the Federal Reserve.
