WASHINGTON — Federal Deposit Insurance Corp. Chairwoman Sheila Bair said Tuesday that U.S. bank failures will continue at a “good clip” this year and that she can’t say whether her agency will ask the Treasury Department to help boost FDIC reserves.
In a CNBC interview, Bair said the FDIC’s board is considering its funding options and will make a decision by the end of the month. Asked if a funding request may be made of Treasury, she answered, “I don’t know.” But she flatly rejected asking Congress for additional money. She said the FDIC’s reserves stand at $42 billion — $10.4 billion after set-asides. Still, Bair said the FDIC’s liquidity is “strong” as of the second quarter and that the agency has a variety of funding options. Dow Jones Newswires
