Statement About Pledges by Private Commercial Institutions To Provide for an Increase in Housing Credit

THE DECISION of commercial banks, life insurance companies, and pension fund trustees to provide a significant increase in housing credit is one which I enthusiastically welcome and deeply appreciate. The pledges made to date of a $2 billion increase in commitments in 1970 for residential mortgages will significantly enhance our ability to meet critical housing needs. I hope and expect that this action will stimulate the flow of other funds into this important sector of the economy.

The action which has been taken by these private commercial institutions demonstrates once again the viability of "the voluntary way" in dealing with difficult public questions. These commitments reaffirm the conviction that private enterprise can and will act in the public interest.

For its part, the Government has also taken a number of steps to improve the financial climate for housing and is on the way toward further action. Last week the Senate passed emergency mortgage finance legislation by a 72-0 vote. I urgently hope that the House of Representatives will now act promptly in approving this important program.