State Treasurer Michael L. Fitzgerald’s Invest in Iowa Auction invested just over $416 million in Iowa’s banks in 2016. A total of six auctions were held over the course of the year, and $2.2 million in interest has been earned. “We continue to see a strong interest in this program, and it is truly a win-win-win for Iowa’s financial institutions, our citizens and our state,” Fitzgerald said.
State Treasury Invests $416 Million Dollars in Iowa's Banks in 2016
Fitzgerald created the Invest in Iowa program in 1983 as a way to deposit state funds in Iowa financial institutions. The treasurer’s office uses an auction format offering state deposits to Iowa banks six times a year, which allows the state to earn a competitive return on the funds while ensuring local banks have the money they need to keep the economy moving. The financial institutions hold the funds as CDs and use the money to make loans. Four auctions featuring six-month term CDs are held on the second Tuesday of January, April, July and October. In addition, two auctions offering one-year term CDs are held in February and August each year.
“Over the last 14 years, we have earned over $24 million in interest,” Fitzgerald added. “I am glad this program can continue to support our financial future.”
To learn more about the Invest in Iowa program, visit IowaTreasurer.gov, select “Invest in Iowa” under the “For Businesses” tab or contact the treasurer’s office at 515-281-5368.