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Paulson: Rescue plan not cure-all

Nov 18 2008 17:05

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Washington - The $700bn US financial bailout package is "not a panacea" to cure economic woes, US Treasury Secretary Henry Paulson told lawmakers Tuesday, amid growing calls for help for other sectors.

"The crisis in our financial system had already spilled over into our economy and hurt it. It will take a while to get lending going and repair our financial system, which is essential to an economic recovery," Paulson said at a hearing of the House of Representatives Financial Services Committee.

Paulson, Federal Reserve chairperson Ben Bernanke and Federal Deposit Insurance Corporation chairperson Sheila Bair were called to testify before the House panel about the $700bn Troubled Asset Relief Programme (Tarp) authorised by Congress last month to shore up the financial system.

 
 
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