Although it took some time and work for this bill to be approved, ultimately, the Senate, the House and President Bush have recognized that this was an important measure that will help bring stability to financial markets.

This bill includes some positive provisions that will protect homeowners and bank deposits. Increasing the FDIC insurance maximum up to $250,000 should help ease fears about the safety of savings deposits. Further, homeowners will have added opportunities to refinance high-rate variable mortgages into more affordable fixed-rate mortgages.

Other important provisions included in the bill are the creation of two oversight committees and the conditions placed on executive pay for companies selling assets or buying insurance from the federal government.

In New York City, the financial industry is pivotal to the City’s economy. In 2007, the financial and insurance sector accounted for 33 percent of wages and 9 percent of employment.

The support approved for the financial industry today is an important step towards stabilizing and restoring confidence in financial markets, and will help to prevent further unnecessary damage to the local and national economies.

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