Billionaire investor Warren Buffett reportedly spoke with Biden administration officials in recent days about contending with the banking crisis.
No formal statement has been released about the conversations, but sources told Bloomberg News they focused, in part, on investments into the U.S. regional banking sector.
Buffett, 92, also offered broad advice on how to deal with the financial situation, per the report.
The world’s 6th richest man Warren Buffett has been in contact with the Biden administration amid the U.S. regional banking crisis, per Bloomberg.
Buffett has given advice, and the calls have reportedly also centered around Buffett potentially investing in struggling banks. pic.twitter.com/U0NkK1Vhn8
— The Recount (@therecount) March 19, 2023
News of the talks come after Silicon Valley Bank, Signature Bank, and Silvergate Bank collapsed this month, after which the federal government took steps to protect depositors.
Treasury Secretary Janet Yellen assured Congress last week that the U.S. financial system “remains sound,” and 11 major banks offered $30 billion in deposits to assist the struggling First Republic Bank.
Still, concerns about a looming recession linger, and the markets have been volatile.
Buffett, who runs Berkshire Hathaway, has a history of stepping in to help banks in distress over the years.
Berkshire Hathaway put $5 billion into Goldman Sachs to help steady it during the 2008 global financial crisis. Buffett also invested $5 billion in Bank of America during the 2011 debt-ceiling crisis.