U.S. President Obama calls for tougher financial regulations

 Global Financial Crisis

U.S. President Barack Obama is applauded by Vice President Joe Biden and Speaker of the House Nancy Pelosi as he addresses a joint session of Congress in Washington, February 24, 2009. (Xinhua/Reuters Photo)
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    WASHINGTON, Feb. 25 (Xinhua) — U.S. President Barack Obama Wednesday called on lawmakers to create tougher new financial industry regulations to prevent similar crisis.

    ”Strong financial markets require clear rules of the road, not to hinder financial institutions but to protect consumers and investors and ultimately to keep those financial institutions strong,” Obama told the press after meeting with his economic team.

    Obama noted financial institutions that pose serious risks, systemic risks, to the market “should be subject to serious oversight by the government.”

    ”To rebuild trust in our markets, we must redouble our efforts to promote openness, transparency and plain language throughout our financial system,” said the president. “We need strong and uniform supervision of financial products marketed to investors and consumers.”

    ”We must demand strict accountability, starting at the top. Executives who violate the public trust must be held responsible,” he said.

    Obama noted that the work of constructing a new regulatory framework will not be easy and reform will not happen overnight.

    ”But we must never forget that our market has always been the engine of America’s success, rewarding innovators and risk-takers, creating opportunities for generations of Americans, and prosperity that is the envy of the world,” he said.

U.S. House approves $410 bln spending bill for 2009 fiscal year

    WASHINGTON, Feb. 25 (Xinhua) — The U.S. House of Representatives on Wednesday approved a 410 billion dollar spending bill to keep the government operating until fiscal year 2010 begins October 1.

    The vote was 245-178, with most Republicans said No. The bill now moves to the Senate for further consideration. Full story

Obama vows to cut U.S. budget deficit by half in 4 years

    WASHINGTON, Feb. 23 (Xinhua) — U.S. President Barack Obama vowed on Monday that he will cut his country’s budget deficit by 2013.

    “Today, I am pledging to cut the deficit we inherited by half by the end of my first term in office,” Obama declared, as he opened a “Fiscal Responsibility Summit” at the White House. Full story

U.S. starts “stress tests” for major banks

    WASHINGTON, Feb. 25 (Xinhua) — U.S. regulators announced on Wednesday the start of “stress tests” to gauge the health of the nation’s biggest banks.

    The tests were aimed “to determine if the largest U.S. banking organizations have sufficient capital buffers to withstand the impact of an economic environment that is more challenging than is currently anticipated.”  Full story

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