EXHIBIT 99.2

SEPTEMBER 2003

Fannie Mae’s summary of monthly business volumes, delinquency rates, and interest rate risk measures reflect the company’s continued record of disciplined growth.

Because of increased levels of actual and anticipated variability in performance measures on a month-to-month and quarter-to-quarter basis, management believes that it is important to view these measures on a year-to-date basis, and in the context of our longer-term outlook.

HIGHLIGHTS FOR SEPTEMBER INCLUDE:

• Total business volume rose to a record $145.6 billion in September.

• Due to the extraordinarily high amount of outstanding commitments that settled in September, portfolio purchases surged to a record $98.8 billion. Extremely strong growth during the month brought annualized year-to-date portfolio growth to 21.9 percent. Outstanding commitments at month-end fell to $29.6 billion, from $101 billion on August 31.

• Retained commitments were $28.0 billion, reflecting a narrowing of mortgage to debt spreads during the month.

• Outstanding MBS contracted in September despite new issues of $120.3 billion, due to record portfolio purchases and $63.6 billion in MBS liquidations.

• Liquidations for both the mortgage portfolio and MBS outstanding declined from August’s record high levels.

• The duration gap on Fannie Mae’s mortgage portfolio averaged a positive one month during September.

• The conventional single-family delinquency rate rose one basis point to 0.58 percent. The multifamily delinquency rate remained unchanged at 0.13 percent.

BUSINESS BALANCES AND GROWTH ($ in Millions) (1)

	Mortgage Portfolio, Gross (2)					Outstanding MBS (3)					Book of Business
	End Balance		Growth Rate (4)			End Balance		Growth Rate (4)			End Balance		Growth Rate (4)
October 2002	$	751,347		-0.1	%	$	1,018,303		39.6	%	$	1,769,650		21.0	%
November 2002		760,759		16.1	%		1,019,031		.9	%		1,779,790		7.1	%
December 2002		790,800		59.2	%		1,029,456		13.0	%		1,820,256		31.0	%
YTD 2002	$	790,800		11.9	%	$	1,029,456		19.9	%	$	1,820,256		16.4	%
January 2003	$	810,609		34.6	%	$	1,047,903		23.8	%	$	1,858,512		28.3	%
February 2003		816,747		9.5	%		1,073,564		33.7	%		1,890,311		22.6	%
March 2003		815,964		-1.1	%		1,107,520		45.3	%		1,923,484		23.2	%
April 2003		817,894		2.9	%		1,156,205		67.6	%		1,974,099		36.6	%
May 2003		815,560		-3.4	%		1,186,128		35.9	%		2,001,688		18.1	%
June 2003		812,467		-4.5	%		1,237,461		66.3	%		2,049,928		33.1	%
July 2003		836,104		41.1	%		1,248,869		11.6	%		2,084,973		22.6	%
August 2003		863,170		46.6	%		1,227,115		(19.0	%)		2,090,285		3.1	%
September 2003		917,123		107.0	%		1,211,079		(14.6	%)		2,128,202		24.1	%
YTD 2003	$	917,123		21.9	%	$	1,211,079		24.2	%	$	2,128,202		23.2	%

BUSINESS VOLUMES ($ in Millions) (1)

	MBS
					Total		Fannie Mae		MBS Issues
	Single-family		Multifamily		Lender-originated		MBS		Acquired		Portfolio		Business
	Issues		Issues		Issues (5)		Purchases (6)		by Others		Purchases		Volume
October 2002	$	80,624	$	699	$	81,323	$	19,043	$	62,280	$	32,853	$	95,132
November 2002		80,375		951		81,326		33,535		47,791		47,807		95,599
December 2002		94,054		3,777		97,831		51,947		45,884		67,891		113,775
YTD 2002	$	710,961	$	12,336	$	723,299	$	245,039	$	478,260	$	370,641	$	848,901
January 2003	$	105,256	$	1,390	$	106,646	$	42,858	$	63,788	$	57,281	$	121,069
February 2003		92,720		465		93,185		27,530		65,655		40,420		106,075
March 2003		92,023		719		92,742		18,252		74,490		34,304		108,794
April 2003		120,976		667		121,643		25,648		95,995		43,028		139,024
May 2003		107,447		989		108,436		23,180		85,256		43,749		129,005
June 2003		121,457		1,449		122,906		21,655		101,251		41,183		142,434
July 2003		118,545		1,420		119,965		48,266		71,699		72,447		144,146
August 2003		108,866		796		109,662		54,295		55,367		82,656		138,023
September 2003		116,105		4,192		120,297		73,504		46,793		98,804		145,597
YTD 2003	$	983,395	$	12,087	$	995,482	$	335,189	$	660,293	$	513,873	$	1,174,166

MORTGAGE PORTFOLIO COMMITMENTS, PURCHASES, AND SALES ($ in Millions) (1)

			Purchases
												Mortgage
	Retained		Single-				Total					Portfolio
	Commitments		family		Multifamily		Purchases		Net Yield (7)			Sales
October 2002	$	67,342	$	32,297	$	556	$	32,853		5.61	%	$	951
November 2002		52,766		47,131		676		47,807		5.52	%		142
December 2002		29,214		66,703		1,188		67,891		5.42	%		293
YTD 2002	$	388,059	$	363,149	$	7,492	$	370,641		5.92	%	$	9,582
January 2003	$	25,097	$	56,402	$	879	$	57,281		5.44	%	$	60
February 2003		51,238		39,814		606		40,420		5.32	%		780
March 2003		39,548		33,621		683		34,304		5.20	%		431
April 2003		41,427		42,395		633		43,028		5.20	%		646
May 2003		73,784		42,795		954		43,749		5.12	%		1,894
June 2003		75,515		40,306		877		41,183		4.96	%		2,885
July 2003		77,679		70,246		2,201		72,447		4.86	%		513
August 2003		43,351		81,255		1,401		82,656		4.83	%		384
September 2003		27,961		97,693		1,111		98,804		4.85	%		581
YTD 2003	$	455,600	$	504,528	$	9,345	$	513,873		5.03	%	$	8,173

(1)	Represents unpaid principal balance.
(2)	Excludes mark-to-market adjustments, deferred balances and allowance for losses. Includes $590 billion of Fannie Mae MBS as of September 30, 2003.
(3)	MBS held by investors other than Fannie Mae’s portfolio.
(4)	Growth rates are compounded.
(5)	Excludes MBS issued from Fannie Mae’s portfolio, which was $2,551 million in September 2003.
(6)	Included in total portfolio purchases.
(7)	Yields shown on a taxable-equivalent basis.

LIQUIDATIONS ($ in Millions) (1)

	Mortgage Portfolio					Outstanding MBS
	Liquidations					Liquidations
	Amount		Annual Rate			Amount		Annual Rate
October 2002	$	31,990		51.09	%	$	35,321		42.20	%
November 2002		38,265		60.73	%		47,184		55.58	%
December 2002		37,569		58.11	%		42,714		50.04	%
YTD 2002	$	277,419		37.35	%	$	324,177		34.37	%
January 2003	$	37,423		56.09	%	$	45,343		52.38	%
February 2003		33,517		49.43	%		40,771		46.12	%
March 2003		34,668		50.96	%		40,915		45.02	%
April 2003		40,465		59.44	%		47,956		50.84	%
May 2003		44,203		64.95	%		57,226		58.64	%
June 2003		41,279		60.85	%		52,607		52.09	%
July 2003		48,309		70.33	%		60,611		58.51	%
August 2003		55,220		77.99	%		76,854		74.50	%
September 2003		44,244		59.65	%		63,577		62.58	%
YTD 2003	$	379,329		60.96	%	$	485,861		56.21	%

DELINQUENCY RATES

	Single-family Conventional (2)
	Non-Credit			Credit						Multifamily
	Enhancement (3)			Enhancement (4)			Total (5)			Total (6)
October 2002		0.29	%		1.16	%		0.53	%		0.08	%
November 2002		0.30	%		1.24	%		0.56	%		0.10	%
December 2002		0.31	%		1.29	%		0.57	%		0.05	%
January 2003		0.32	%		1.34	%		0.59	%		0.03	%
February 2003		0.31	%		1.36	%		0.59	%		0.06	%
March 2003		0.30	%		1.34	%		0.57	%		0.09	%
April 2003		0.29	%		1.34	%		0.56	%		0.09	%
May 2003		0.29	%		1.38	%		0.55	%		0.15	%
June 2003		0.29	%		1.42	%		0.56	%		0.13	%
July 2003		0.29	%		1.47	%		0.57	%		0.13	%
August 2003		0.29	%		1.52	%		0.58	%		0.13	%

AVERAGE INVESTMENT BALANCES ($ in Millions)

	Net		Liquid		Total Net
	Mortgages		Investments		Investments
October 2002	$	746,529	$	64,923	$	811,452
November 2002		749,432		76,959		826,391
December 2002		773,717		85,206		858,923
YTD 2002	$	735,943	$	68,658	$	804,601
January 2003	$	794,278	$	75,849	$	870,127
February 2003		808,377		63,706		872,083
March 2003		811,757		61,851		873,608
April 2003		809,928		75,874		885,804
May 2003		806,511		83,895		890,406
June 2003		808,205		86,136		894,341
July 2003		813,728		82,011		895,739
August 2003		832,100		95,607		927,708
September 2003		875,740		78,892		954,633
YTD 2003	$	817,847	$	78,202	$	896,050

INTEREST RATE RISK DISCLOSURES

			Rate Level Shock (50bp) (8)						Rate Slope Shock (25bp) (8)
	Effective		1 Year Portfolio			4 Year Portfolio			1 Year Portfolio			4 Year Portfolio
	Duration Gap (7)		Net Interest			Net Interest			Net Interest			Net Interest
	(in months)		Income at Risk			Income at Risk			Income at Risk			Income at Risk
October 2002		-6		2.7	%		2.0	%		6.0	%		7.5	%
November 2002		2		6.3	%		4.9	%		3.5	%		5.9	%
December 2002		-5		0.6	%		1.6	%		4.7	%		6.6	%
January 2003		-3		2.9	%		3.8	%		3.5	%		5.7	%
February 2003		-5		3.6	%		1.3	%		4.9	%		6.8	%
March 2003		-2		1.7	%		2.8	%		4.4	%		6.7	%
April 2003		-2		2.1	%		2.5	%		4.6	%		6.5	%
May 2003		-5		0.7	%		2.2	%		5.3	%		7.1	%
June 2003		-1		2.1	%		6.6	%		3.9	%		5.9	%
July 2003		6		9.3	%		8.7	%		1.9	%		2.9	%
August 2003		4		4.8	%		3.2	%		3.4	%		5.2	%
September 2003		1		2.7	%		1.3	%		5.2	%		6.8	%

(1)	Represents unpaid principal balance.
(2)	Includes conventional loans three or more months delinquent or in foreclosure process as a percent of the number of loans.
(3)	Loans without primary mortgage insurance or any credit enhancements.
(4)	Loans with primary mortgage insurance and other credit enhancements.
(5)	Total of single-family non-credit enhanced and credit enhanced loans.
(6)	Includes loans two or more months delinquent as a percent of loan dollars and includes the total credit book of business.
(7)	Effective January 2003, the duration gap is a weighted average for the month. Prior to 2003, the duration gap was calculated on the last day of the month.
(8)	Expresses projected core net interest income under the more adverse of the interest rate and yield curve scenarios as a percentage of projected net interest income without the rate shocks.

The information presented in this report is unaudited and includes, in the opinion of management, all adjustments (consisting of normally recurring accruals) necessary for a fair presentation. The data should be read in conjunction with audited financial statements and notes to financial statements that are available from the corporation. For more information regarding Fannie Mae, or for a more detailed quarterly report on Fannie Mae’s activity, please visit www.fanniemae.com or contact us at (202) 752-7115.