A recent article by National Mortgage News highlights the topline findings from a study by the Urban Institute evaluating the economic benefits provided by the FHLBanks. The article notes the FHLBanks generate at least $13.2 billion an annual economic benefit, or 1.9 times the amount the Congressional Budget Office concluded the FHLBanks receive from their GSE status. The article further notes that the annual benefit could be as high as $21.4 billion, depending on market conditions, and further notes Urban Institute’s conclusion that the FHLBanks generate $950 million in annual savings for the FDIC. Finally, the article concludes with Urban Institute’s conclusion that FHLBank liquidity saves homeowners $3.8 billion per year through lower-cost mortgages. Click here to read the story.
