The Citigroup 2008 Bailout

The Citigroup 2008 bailout was part of the U.S. government's effort to stabilize the financial system during the financial crisis. Citigroup, a major bank, was facing huge losses from bad loans and investments, risking its collapse. To prevent this from causing broader economic damage, the government provided $45 billion in emergency aid, which included direct cash, guarantees, and lower interest rates. This support helped Citigroup stay afloat, maintain confidence, and continue offering financial services. The bailout aimed to protect the economy, prevent further bank failures, and restore stability to the financial sector.