Bernanke: Must Address Future Of Fannie, Freddie In Near Term
October 01 2009 - 10:43AM
Dow Jones News
U.S. Federal Reserve Chairman Ben Bernanke said Thursday the
future of Fannie Mae (FRE) and Freddie Mac (FRE) should be
addressed in the near future to provide more stability to the
financial system and housing market.
"I think the (government-sponsored enterprises) do need to be
addressed in the near term, not just for systemic risk reasons but
because we have a lot of uncertainty about housing and what's going
to happen to the...housing finance system," he told the House
Financial Services committee.
Fannie Mae and Freddie Mac were put into government
conservatorship last fall as the mortgage market meltdown
threatened their viability, and the Obama administration plans to
unveil a plan to deal with them when it releases the 2011 budget in
February.
-By Tom Barkley and Maya Jackson Randall, Dow Jones Newswires;
202-862-9275; tom.barkley@dowjones.com