Calls for expanding Ginnie Mae's authorities mount after FSOC report: A recommendation to give Ginnie Mae expanded authorities is drawing focus in the reactions to a Financial Stability Oversight Council report on nonbank risks.

A recent report by the Financial Stability Oversight Council (FSOC) on nonbank mortgage risks has sparked discussions about expanding the authorities of Ginnie Mae, the government mortgage securitization guarantor. Ginnie Mae has long sought greater authority to improve risk management and oversight. The report also recommends increasing Ginnie Mae's budget and salary authorizations to make them competitive with other agencies. However, there is uncertainty about whether Congress will intervene to expand Ginnie Mae's authorities. Some industry experts are skeptical of congressional action and believe that nonbank servicers are well capitalized. Ginnie Mae has also faced pushback on its nonbank, risk-based capital rule for mortgage servicing rights. [Extracted from the article]