Greenspan says risk management benefits the US

Federal Reserve Chairman Alan Greenspan said in a speech on Tuesday 5 October that better management of banking risk and new rules on capital could strengthen the banking system and contribute more to economic growth.

Click here to read the speech "Banking" on the Federal Reserve's web site

"The improving bank practices, coupled with the new rules, hold out the hope of a safer and stronger banking system contributing to a more stable economy," Greenspan said.

Some 1,250 banks went out of

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