Finance news

President Bush said Tuesday he is confident that Congress will reconcile differences and come together to pass a $700 billion bailout bill to deal with the financial meltdown that has shaken the global economy.

Bush, in New York to talk with world leaders at the U.N. General Assembly, said he assured them that the United States was taking the right steps to deal with the crisis that has thundered from Wall Street to Main Street - and even across the globe - with the collapse of some of America’s major financial insititutions.

Bush said that in conversations that began Monday night, he told world leaders that the plan outlined by Treasury Secretary Henry Paulson "is a robust plan to deal with a serious problem.

"And now they’re wondering about our Congress," Bush said. "And I’ve assured them as well, having spoken to the leaders of Congress of both political parties, that there is the desire to get something done quickly."

Bush took note of Democrats’ hopes to change the bill with limits on the pay of top executives whose firms need help, more help for unemployed workers and measures to reduce mortgage payments for borrowers facing foreclosure.

"There are good ideas that need to be listened to in order to get a good bill out that will address the situation to get this piece of legislation passed which is necessary to address the financial situation and provide a rescue plan to make sure that there’s stability in the markets," he said.

"But I’m confident there will be a bipartisan bill, that Republicans and Democrats will come together," he said.

Bush spoke during a meeting at the Waldorf Astoria Hotel with Pakistan’s new president, Ali Zardari.

White House spokesman Tony Fratto told reporters that "there’s an image out there that this is a rescue plan for Wall Street financial institutions $1500 payday loan. This is a rescue plan for the American economy."

He said the plan would help homeowners by freeing up credit in the markets and making sure money is available for home loans.

Without getting specific on details, Fratto said he understands lawmakers’ concerns on the need for oversight. He said the administration will insist on "robust" transparency. "We’re asking the American taxpayer to essentially front an investment here," he said.

Fratto said that Vice President Dick Cheney is on Capitol Hill talking to lawmakers. Chief of staff Joshua Bolten is, too. Asked if Bush will reach out directly to lawmakers, Fratto said that Treasury Secretary Henry Paulson is the point person to explain the administration’s case to Congress. 

Source