Oct 09, 2008 - 04:05:59 CDT
North Dakota banks are stable and aren't to blame for this financial crisis, leaders said Wednesday.Sen. Kent Conrad, D-N.D. and several area business leaders spoke Wednesday to discuss support for the bailout plan approved last week as it heads down the road to being implemented.
"Our banks are sound and strong,"Conrad said. "Our credit unions are in very good shape."
Although North Dakotans didn't contribute to the credit crunch and mortgage crisis, Conrad said, the problems will trickle into the state nonetheless.
"Unfortunately, when there's a contagion like this, it will affect all of us,"he said.
Conrad stressed the importance of the plan as a way to help liquefy credit markets, but was briefly critical of how long the treasury department is taking in implementing the steps of the plan.
"I'm a little disappointed it's not going faster,"he said.
Rick Clayburgh, president of the North Dakota Bankers Association, also stressed that the state's banks were not at fault, adding that North Dakota customers' deposits are secure, safe and sound.
Several area leaders, including Linda Wurtz with AARPand Doreen Riedman with the North Dakota Builders' Association, expressed appreciation for the legislation; Riedman said home building in the state was still strong and new homeowners should not be worried about investing.
"We need to make sure people feel comfortable; values are still great in our market,"she said, adding that credit availability is key.
Conrad stressed that no one knows whether the financial rescue package will be enough, but said it was a step.
"One of the things we learned form the '30s was the exact wrong thing to do was to do nothing,"he said.
(Reach reporter Crystal R. Reid at 250-8261 or at crystal.reid@bismarcktribune.com.)
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