Treasury's Barr to testify on Fannie and Freddie

WASHINGTON (Reuters) - Michael Barr, assistant treasury secretary for financial institutions, and Edward DeMarco, acting director of the Federal Housing Finance Agency will testify on Capitol Hill next week on the future of Fannie Mae FNMA.OB and Freddie Mac FMCC.OB.

Barr and DeMarco will appear before the House Financial Services Subcommittee on Capital Markets on September 15.

Panel Chairman Paul Kanjorski said they will “examine the primary causes of the financial losses for Fannie Mae and Freddie Mac, as well as the progress made during the last two years in stabilizing our mortgage markets and ensuring the continued availability of reasonably priced loans.”

“The hearing will also explore the steps being taken to limit future red ink,” the Pennsylvania Democrat said. The two firms have tapped about $150 billion from the Treasury since they were taken over by the government two years ago.

Reporting by Corbett B. Daly; Editing by Andrew Hay