Global General

Special

Newsmaker

Asia Pacific

America

Middle East

Europe

Africa

Bush warns of 'long and painful recession'

(Agencies)
Updated: 2008-09-25 09:53

WASHINGTON - US President George W. Bush on Wednesday warned Americans and lawmakers reluctant to pass a historic financial rescue plan that failing to act fast risks wiping out retirement savings, rising foreclosures, lost jobs, closed business and "a long and painful recession."

U.S. President George W. Bush delivers a nationally televised address from the White House to discuss a $700 billion financial rescue plan that he feels is needed to shore up the U.S. economy, in this frame grab taken in Washington on September 24, 2008.[Agencies]

He spoke just after inviting Democrat Barack Obama and Republican John McCain, one of whom will inherit the mess in four months, and key congressional leaders to an extraordinary White House meeting Thursday to hammer out a compromise.

Special coverage: Deepening Financial Crisis Related readings:  US-led wars behind Wall St crisis: Iran  Financial chaos could lead to 'real crisis'  US launches all-out attack on credit crisis  Economic crisis threatens EU measures on climate change

"Without immediate action by Congress, American could slip into a financial panic and a distressing scenario would unfold," Bush said in a prime-time address from the White House East Room that he hoped would help rescue his tough-sell bailout package.

Bush explicitly endorsed several of the changes that have been demanded in recent days from the right and left. But he warned that he would draw the line at regulations he determined would hamper economic growth.

"It should be enacted as soon as possible," the president said.