The U.S. Treasury Department on Tuesday said that it has $109.60 billion remaining of the government's $700 billion financial rescue package. In a letter from Treasury Secretary Timothy Geithner to Elizabeth Warren, the head of the Congressional Oversight Panel, it was detailed that the nearly $110 billion will be boosted over the next year by about $25 billion as some institutions pay back money they have received. That would boost the fund to $134.6 billion. In the letter, Geithner detailed the allocation of the $700 billion as was made under the administration of former U.S. President George W. Bush. The Bush administration had committed $355.4 billion in resources before it left office: $117 billion committed to insurance giant American International Group, banking giants Citigroup and Bank of America, and auto companies General Motors and Chrysler. Another $218 billion has been committed to banks to bolster their capital reserves. So far, nearly $200 billion has been given to more than 500 banks nationwide with more applications pending. Former Treasury Secretary Henry Paulson had once set a goal of having $250 billion disbursed to banks. According to the Treasury, another $20 billion has been committed to the initial joint effort with the Federal Reserve to boost lending to consumers and businesses under a Fed program known as the Term Asset-Backed Securities Loan Facility. The administration of U.S. President Barack Obama sent Congress a budget request earlier this year that included a “placeholder” to more than double the fund to $750 billion. However, lawmakers have told the administration there is no chance they will approve any proposal to boost the fund.
