The White House says the latest government bailout of the American insurance AIG was unavoidable.
A spokesperson says it was necessary to prevent the insurance group from posing a further threat to the financial system.
Stocks in the United States tumbled after AIG got more government assistance , following a record quarterly loss of $US61.7 billion, fuelling fears the global financial crisis is getting worse.
AIG will receive an extra $US30 billion from the US government. It previously received $US150 billion last year.
