A push at the Federal Reserve for looser regulation led officials to miss red flags at Silicon Valley Bank, according to a review of the company’s collapse.
The conclusion is one of the key findings of the Federal Reserve’s investigation into its biggest failure since 2008.
The episode sparked global concerns about the state of the banking sector.
The report comes as another US lender, First Republic, continues to struggle.
US regulators are reportedly working on a bailout for the ailing company, which was the 14th largest bank in the US at the end of last year.
But it lost $100 billion in deposits last month as customers withdrew money amid the panic sparked by the collapse of the SVB.
Investors have sold the company’s shares, causing the share price to plummet by 95% since early March.
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