More US banks expected to fail

United States President, Barack Obama has warned that more US banks are likely to fail, as the economic crisis worsens.



Speaking to NBC News, Mr. Obama said some banks would not survive but stressed that people\'s deposits would be safe.



He has asked Treasury Secretary Timothy Geithner to draw up guidelines for banks receiving taxpayers\' money.



The US president is warning of a difficult next few days as the Senate begins to debate his $800 billion rescue plan.



Mr. Obama said it was likely the banks had still not fully acknowledged the extent of their losses.



The president, who has been critical of bank executives receiving bonuses despite taking government bail-outs, also announced there would be new rules for such banks.



He made it clear he was taking responsibility for turning round the US economy before the next presidential election in 2012.