Bloomberg Law
March 17, 2023, 2:17 PM

US Banks’ First Republic Boost Shows System Safe, Adeyemo Says

Christopher Condon
Christopher Condon
Bloomberg News

Deputy US Treasury Secretary Wally Adeyemo said the deposit of funds at battered California lender First Republic Bank by the nations’ biggest financial institutions were designed to bolster the overall US banking system.

“Yesterday’s action by 11 of the largest institutions in our country to put money in First Republic wasn’t only to show support for that institution, but for the entire banking system by the largest banks in our country to demonstrate that our system is safe,” Adeyemo said in an interview Friday on Bloomberg Television.

Adeyemo said that, based on discussions regulators have had with banking executives, deposits ...