FHLBank System at 100 Report Issued
The long-anticipated “Federal Home Loan Banks at 100: Focusing on the Future” report was published by the Federal Housing Finance Agency (FHFA) on November 7. The report represents the culmination of a 15-month long comprehensive review of the System. We thank our many members and affordable housing partners for their active participation in the review and support of our mission.
The FHLBank System positively impacts communities throughout the country and the report outlines some ways we can seek to enhance this impact for the future. We have already taken action on key report themes by increasing our support for affordable housing and community development by 50 percent above the required minimum which is available to all members to benefit their areas of our District. We also are exploring ways to further support community development financial institutions and their missions.
We need to take some time to better understand the details of several recommendations and hear more about the planned implementation path to avoid any unintended consequences. We will continue to engage with the FHFA to ensure the FHLBank System remains a reliable resource of funding no matter the economic cycle.
It is important to recognize that while FHFA’s report includes multiple suggestions for rulemaking and legislative recommendations for Congress to consider, the report itself is merely the first step in what we anticipate will be a long process. None of the report’s recommendations have an immediate impact on our operations or business. We will be engaging with FHFA and Congress over the coming weeks and months to ensure that the System remains well positioned to serve our members and their communities.
For now, we will take the time to digest the report in its entirety and will be in touch as we have additional information to share about the process and our reactions to the report. Follow news from the Council of Home Loan Banks and look for the latest updates on their website at www.fhlbanks.com.