Washington, D.C (Sept. 14, 2017)—Independent Community Bankers of America® (ICBA) President and CEO Camden R. Fine released the following statement on bipartisan support for allowing Fannie Mae and Freddie Mac to rebuild capital.
“ICBA urges the Treasury Department and Federal Housing Finance Agency to heed the calls of the Republican National Committee and a coalition of Senate Banking Committee Democrats to allow Fannie Mae and Freddie Mac to rebuild capital while in conservatorship. The federal government continues its quarterly sweep of the government-sponsored enterprises’ profits into its coffers even though the GSEs have paid $80 billion more than the $187 billion capital infusion they received during the Wall Street financial crisis.
“As the RNC resolution and letter from Senate Democrats note, current plans allowing the GSEs’ capital reserves to be entirely exhausted by Jan. 1, 2018, threaten the nation’s housing recovery and put taxpayers at risk of another bailout. ICBA continues to call on FHFA Director Mel Watt and Treasury Secretary Steven Mnuchin to prevent such a self-inflicted crisis, end the destructive sweep of the GSEs’ net worth and direct them to retain earnings to rebuild their capital buffers.”
The Independent Community Bankers of America®, the nation’s voice for more than 5,700 community banks of all sizes and charter types, is dedicated exclusively to representing the interests of the community banking industry and its membership through effective advocacy, best-in-class education and high-quality products and services. For more information, visit ICBA’s website at www.icba.org.