ICBA Statement on Federal Home Loan Bank Review

Washington, D.C. (Sep. 6, 2022)—Independent Community Bankers of America (ICBA) President and CEO Rebeca Romero Rainey issued the following statement on the Federal Housing Finance Agency’s comprehensive review of the Federal Home Loan Bank System.

“ICBA and the nation’s community bankers believe the Federal Home Loan Banks must remain a strong, stable, and reliable source of funding for community banks, including many agricultural lenders. The vast majority of community banks are FHLB member-owners and depend on these institutions to support mortgage lending and economic growth in their local communities, which they have done safely for the past 90 years.

“As policymakers review the FHLB system, ICBA strongly opposes any efforts to:

• Compromise the system’s regional and cooperative structure.
• Permit non-depository entities — which are not prudentially regulated — to access FHLB programs or services.
• Consolidate the system without the grassroots leadership of its member-owners.

“ICBA looks forward to continuing to work with policymakers — including by participating in the FHFA’s upcoming public listening sessions and roundtables — to ensure the FHLBs continue to help community banks serve local communities.”

About ICBA

The Independent Community Bankers of America® creates and promotes an environment where community banks flourish. ICBA 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.

With nearly 50,000 locations nationwide, community banks constitute roughly 99 percent of all banks, employ nearly 700,000 Americans and are the only physical banking presence in one in three U.S. counties. Holding more than $5.8 trillion in assets, over $4.9 trillion in deposits, and more than $3.5 trillion in loans to consumers, small businesses and the agricultural community, community banks channel local deposits into the Main Streets and neighborhoods they serve, spurring job creation, fostering innovation and fueling their customers’ dreams in communities throughout America. For more information, visit ICBA’s website at www.icba.org.

###