Mr Darling called for transparency in the markets after the credit crisis that has seen profits in banking slide in recent months.
He also predicted a more cautious approach to lending following the collapse of the sub-prime lending markets in the US.
Reported by Sky News, Mr Darling said: "We need to get to a far better situation where there is a great deal more transparency, more openness, so people understand the risks to which these banks have become exposed and they can avoid being so exposed in future.
"The fundamental point is that the British economy is strong. It's been growing now for well over ten years," he added.
The Chancellor said that it was not a bad thing that banks would be tighter with lending money.
Mr Darling was speaking following the resignation of Charles Prince, former chief executive of Citigroup.