Geithner Warns of Long, Hard Road Ahead

Administration a long way from saying 'mission accomplished' on financial crisis
By Rob Quinn,  Newser Staff
Posted Sep 11, 2009 5:43 AM CDT
Treasury Secretary Timothy Geithner testifies on Capitol Hill yesterday before the Congressional Oversight Panel hearing on the financial markets.   (AP Photo/Susan Walsh)
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(Newser) – The economy is no longer on the brink of the abyss but there's a long way to go before recovery takes hold, Tim Geithner warned yesterday. The Treasury secretary told a congressional committee that while the financial system is showing signs of better health, regulation of the financial system needs a major overhaul to lay a solid foundation for future growth, the Wall Street Journal reports.

"The critical imperative we face as a country is making sure that the same vulnerabilities in our system which gave rise to this recession are not allowed to trigger another," Geithner warned. The Treasury Department plans to start winding down some of its financial rescue programs, Geithner told lawmakers, but adverse economic conditions, especially a high foreclosure rate, will continue to rock the financial system in the coming months.