WASHINGTON – U.S. Department of Housing and Urban Development (HUD) Secretary Julián Castro, Ginnie Mae President Ted Tozer and Yeo Hyung-Ku, the Vice Minister of Korean Ministry of Land, Infrastructure and Transport today signed an agreement pledging closer cooperation between their two countries on issues related to affordable housing finance, establishing sustainable community development, and stabilizing housing markets in the United States and Korea. Watch the signing ceremony on ginniemae.gov.

“We gather today to celebrate the strong and enduring bonds between the United States and Korea. This agreement will allow us to share ideas on financing affordable housing, supporting community development and strengthening the housing markets in both our countries,” said HUD Secretary Julián Castro.

The MOU continues HUD’s and Ginnie Mae’s history of collaboration with the Ministry on housing policy and urban development issues. Both the United States and the Ministry intend to encourage and strengthen direct contacts and cooperation between the two countries’ government organizations, research institutes, and associations.

“We have always valued the relationship between Korea, HUD and Ginnie Mae—as partners contributing to the stability in global financial markets,” said Ginnie Mae President Ted Tozer. “Korea is already an essential partner of HUD and Ginnie Mae through their continuing investment in Ginnie Mae’s mortgage backed securities (MBS). We are eager to take the next step of helping them gain greater understanding of how we successfully fund virtually all government-backed mortgages in this country.”

The MOU between the Ministry of Land, Infrastructure and Transport, HUD and Ginnie Mae will highlight the importance of the bilateral relationship between the U.S.A. and Korea. Through the exchange of information on housing finance and housing markets, both countries will benefit from an enhanced understanding of the mortgage markets in the United States and Korea. Further, the MOU recognizes Ginnie Mae as a respected model for encouraging affordable housing financing for large segments of the U.S. population. Affordable housing financing is not only valued in the U.S. and Korea but also among the other emerging economies within the Asia-Pacific region. The milestone success of Ginnie Mae’s $1.5 trillion outstanding portfolio also provides witness to the global acceptance of Ginnie Mae as an important component to the U.S. economic recovery and improving housing market.

“The Korean Government looks forward to this new partnership and collaboration with Ginnie Mae on sustainable housing finance systems,” Korean Ministry of Land, Infrastructure and Transport Vice Minister Yeo Hyung-Ku. “In addition, we look forward to strengthening our already strong relationship with HUD.”

The HUD-Korea Memorandum of Understanding lays out certain areas of cooperation including:

• Exchange of housing and urban development-related information, research data, technology, and expertise;
• Joint research on housing and urban development-related issues;
• Joint participation in the projects for which both Participants decide to provide housing and urban development-related information and expertise to third countries, housing and urban development organizations, and international organizations; and
• Exchange of human resources, including sending staff from either Participant to the other Participant.

About Ginnie Mae
Ginnie Mae is a wholly-owned government corporation within the U.S. Department of Housing and Urban Development. Ginnie Mae pioneered the MBS, guaranteeing the very first security in 1970 and raises capital from investors in the global credit markets to ensure liquidity for affordable rental and homeownership opportunities across the country. Through its MBS, Ginnie Mae finances housing mortgage insurance programs run by the Federal Housing Administration (FHA), the Department of Veterans Affairs (VA), the Office of Public and Indian Housing (PIH), and the Department of Agriculture’s Rural Housing Service. Ginnie Mae securities carry the full faith and credit of the United States Government.