WASHINGTON, March 25, 2025 (GLOBE NEWSWIRE) -- The Federal Home Loan Banks (FHLBanks) today published their Combined Financial Report for 2024 (CFR), reporting strong System financial performance across several metrics. According to the CFR, the FHLBanks had $740.9 billion in principal of advances, $68.7 billion in principal of mortgage loans held for portfolio, and $219.9 billion in notional standby letters of credit outstanding at the end of 2024 to thousands of financial institution members in communities large and small across the United States. Fueled entirely by private capital, the FHLBanks empower local lenders to open doors to homeownership, support businesses, and facilitate community development.
The CFR also indicates that the FHLBanks committed a record $1.2 billion in combined statutory and voluntary contributions to the Affordable Housing Program (AHP) and other voluntary programs in 2024. AHP funding and funding for voluntary initiatives is a direct outgrowth of the FHLBank’s fulfilment of their primary liquidity mission.
Ryan Donovan, President and CEO of the Council of Federal Home Loan Banks, the public voice of the 11 FHLBanks, acknowledged the strong financial and operational results in 2024 and reinforced the connection between the FHLBanks’ liquidity mission and support for affordable housing and community development.
“The FHLBanks are an integral part of the nation’s financial ecosystem and the liquidity they provide transforms private capital into real world housing and community impact,” said Donovan. “We are extremely proud of the $1.2 billion of funding the FHLBanks committed to affordable housing and community development in 2024. What the FHLBanks do every day matters a great deal for homeowners, for local businesses, for affordable housing, and for communities of all shapes and sizes. More than 90 percent of FHLBank members are community-based lenders and by continually fulfilling their liquidity mission and leveraging the strong relationships they have with their members and other local stakeholders, the FHLBanks are making meaningfully positive impact on housing affordability, housing supply, and community development in communities across the country.”
As part of their mission to provide liquidity and support affordable housing and community development, each FHLBank is required by law to contribute a minimum of 10 percent of income to its Affordable Housing Program. In recognition of the critical need for additional funds to support a range of affordable housing and community development programs, in 2023 the FHLBanks began making contributions representing an additional five percent of their earnings to their individual voluntary affordable housing and community investment initiatives. In total, the FHLBanks contributed more than 15 percent of their net earnings to support affordable housing and community development related initiatives.
FHLBank funding for affordable housing and community development is made available only through FHLBank member financial institutions, and programs are specifically targeted to meet needs within each FHLBank district. Funding ranges from several thousand dollars to help individuals afford a down payment on a home to more than one million dollars to support developers of affordable housing projects. Funding also supports small businesses, local schools, homeless shelters, local libraries and historical societies, and various other entities, providing a fundamental safety net to communities across the country.
About: The FHLBanks are 11 regionally based, wholesale suppliers of lendable funds to financial institutions of all sizes and many types, including community banks, credit unions, commercial and savings banks, insurance companies, and community development financial institutions. The FHLBanks are cooperatively owned by member financial institutions in all 50 states and U.S. territories. The steady supply of lendable funds from FHLBanks helps U.S. lenders invest in local needs including housing, jobs, and economic growth. The Council of FHLBanks represents all 11 FHLBanks.
CONTACT INFORMATION
Council of FHLBanks
Peter E. Garuccio
202-955-0002 ext. 14
pgaruccio@cfhlb.org
