Sunday, January 11, 2009

Paulson Updates on Government Efforts

In an interview today, Treasury Secretary Henry Paulson gave a status report on the government’s efforts to revive growth and stabilize the markets. Among his comments, Paulson highlighted the importance of ensuring potential homeowners with access to credit. However, high interest rates and tight credit due to the high level of defaults are still making this difficult to accomplish.

The monetary policy official said that early loan modifications given in effort to aid existing homeowners was so far displaying unsatisfying results. Also, regarding the financial system, after the widespread panic in October, Paulson stated that there was clear ‘stability’ emerging from the markets.

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