Bush assures country that banking system is ‘sound’

President Bush said at a news conference Tuesday morning that Americans should not fear depositing money in commercial banks, because their money is insured by the federal government.

The president tried to calm the fears of some Americans at a time when the economy continues to slide and a number of financial institutions struggle, and indicated that panic is unwarranted.

{mosads}“My hope is that people take a deep breath and realize that their deposits are protected by the federal government,” Bush said.

The president repeatedly noted that the FDIC insures deposits up to $100,000.

Bush sought to lay the blame for the struggling economy, from record-high gas prices to a struggling mortgage market, on an absence of congressional action.

Bush urged Congress to “move quickly” on White House proposals that would lift the ban on offshore drilling, fund a temporary fix to mortgage lenders Fannie Mae and Freddie Mac, hold a vote on the Colombia free trade agreement and pass appropriations bills that some congressional Democrats are saying will not be enacted until after Bush leaves office.

The president noted that none of the 12 appropriations bills have passed this year, and there are only 26 legislative days left before the end of the fiscal year. He added that this is the latest in the year that none of the funding bills have been passed in “more than two decades.”

“This is not a record to be proud of, and I think our citizens deserve better,” Bush said.

The president did seek to assuage some concerns about the economy by noting that it has continued to grow, though not at the pace he would like to see.

“The bottom line is we’re going through a tough time,” he said.