Build America Mutual announced that it has been accepted as a member of the Federal Home Loan Bank of New York, becoming the first municipal bond insurer to join the FHLB system.
Membership will expand BAM’s financial flexibility by providing access to reliable liquidity at a low cost, and supports BAM’s mission of providing durable credit enhancement for its municipal bond issuer-members who finance essential public infrastructure across the U.S., BAM said.
“BAM is proud to join the FHLB of New York, alongside many of the strongest insurers and financial institutions in the country, and to take this innovative step that enhances the strength of our capital resources,” Seán W. McCarthy, BAM's CEO, said. “Our focus on helping municipal bond issuers access the market efficiently and affordably aligns closely with the FHLBNY’s mission of promoting community development, and we look forward to achieving those goals in partnership in the future.”
José R. González, president and CEO of the Federal Home Loan Bank of New York, said the bank is excited to welcome BAM to its cooperative.
"As the first insurer licensed to guarantee municipal bonds to join the FHLBNY, BAM’s membership will expand the reach of our funding to further strengthen and support the communities we serve.”
