Israel's Netanyahu Says SVB Bankruptcy Created ‘Deep Crisis’ in Tech Industry

MOSCOW (Sputnik) - Israeli Prime Minister Benjamin Netanyahu warned Saturday that the implosion of Silicon Valley Bank, the second largest bank failure in US history, created a deep crisis in the technology industry.

"I am closely following the fall of the American investment bank, SVB, which has created a deep crisis in the high-tech world," he said on social media.

Netanyahu, who is in Rome for an official visit, said he would discuss the extent of the crisis with his finance and economy ministers and the central bank governor once he returned home.

Netanyahu assured Israeli tech companies banking with SVB that his government would help affected Israeli businesses overcome the liquidity crisis.

The SVB collapse has sent ripples across the tech industry in the United States, the United Kingdom and other countries, including Israel, where the tech lender has branches.

The Californian banking regulator announced Friday that it was taking possession of SVB, citing inadequate liquidity and insolvency.

Californian Governor Gavin Newsom said on Saturday that the highest-level officials at the White House and the US Treasury were working with the regulator "to stabilize the situation as quickly as possible" to protect jobs and livelihoods.