Profits declined at 10 of the 11 FHLBanks in the fourth quarter. Only FHLB Atlanta increased net income during the period. (Includes three data tables.)
By allowing the FHLBanks to once again provide credit enhancement for tax-exempt bonds, the bill’s sponsors hope it will reduce financing costs for community development in smaller municipalities.
The Government Accountability Office said FHFA can’t accurately gauge the accuracy of the data it uses to monitor nonbanks and overlooks key risks associated with warehouse lending. FHFA agreed to address the issues.
A new Urban Institute report found that as a bank’s ratio of FHLBank advances to total assets grows, so does its level of overall lending and mortgage originations.
Trump seeks to bar Wall Street from the single-family market; more turnover in the FHLBank San Francisco C-suite; AI version of Trump narrates Fannie Mae ad.
Researchers tell Congress that, despite the role the FHLBanks played in the bank failures of 2023, a higher level of FHLBank borrowing has historically been associated with positive outcomes for members.
Outstanding advances for the FHLBank system fell to $693.48 billion in the third quarter from $742.85 billion in the second. Still, the 11 FHLBanks’ combined profits were up almost 10%. (Includes three data tables.)