Washington, D.C. 20549

                                    FORM 8-K

                                 CURRENT REPORT

     Pursuant to Section 13 OR 15(d) of the Securities Exchange Act of 1934

       Date of Report (Date of earliest event reported): October 16, 2003

                    Federal Agricultural Mortgage Corporation
             (Exact name of registrant as specified in its charter)

           Federally chartered
             instrumentality of
             the United States                0-17440         52-1578738
      (State or other jurisdiction of       (Commission     (I.R.S. Employer
       incorporation or organization)       File Number)   Identification No.)

1133 21st Street, N.W., Suite 600, Washington, D.C.                20036
---------------------------------------------------             ------------
   (Address of principal executive offices)                      (Zip Code)

       Registrant's telephone number, including area code: (202) 872-7700

                                    No change
          (Former name or former address, if changed since last report)

Item 7.  Financial Statements and Exhibits.

      (a) Not applicable.

      (b) Not applicable.

      (c) Exhibits:

                  99    Press release dated October 16, 2003.

Item 9.  Regulation FD Disclosure.

     On October 16, 2003, the U.S. General  Accounting Office ("GAO") released a
report on the Registrant that addressed topics  identified in a previous request
letter from the Senate Committee on Agriculture,  Nutrition and Forestry to GAO.
On that same day,  the  Registrant  issued a press  release  addressing  the GAO
report. A copy of the press release is attached to this report as Exhibit 99 and
is incorporated herein by reference.


     Pursuant to the  requirements  of the Securities  Exchange Act of 1934, the
registrant  has duly  caused  this  report  to be  signed  on its  behalf by the
undersigned hereunto duly authorized.

                                    FEDERAL AGRICULTURAL MORTGAGE CORPORATION

                                    By:   /s/ Jerome G. Oslick
                                        Name:   Jerome G. Oslick
                                        Title:  Vice President - General Counsel

Dated:      October 16, 2003

                                  EXHIBIT INDEX

Exhibit No.                   Description                           Page No.
-----------                   -----------                           --------

99                           Press Release Dated October 16, 2003       5

                                                                 Exhibit 99

                                   FARMER MAC

FOR IMMEDIATE RELEASE                                       CONTACT
October 16, 2003                                            Jerome Oslick

                     GAO Finds Improved Financial Condition
                With Increased Mission Activities at Farmer Mac

     Washington,  D.C. - The Federal Agricultural  Mortgage Corporation ("Farmer
Mac" NYSE:  AGM and AGM.A) has  received  today the  October  16,  2003  General
Accounting  Office ("GAO")  Report on Farmer Mac  addressing  topics in the June
2002 request  letter from the Senate  Committee on  Agriculture,  Nutrition  and
Forestry  to GAO.  In that  letter,  the  Chairman  and  Ranking  Member  of the
Committee asked GAO's assistance "to ensure that Farmer Mac's mission  continues
to be met in a financially sound manner."

     Farmer  Mac is  pleased  with the  Report's  conclusions  on those  topics,
particularly  that its  financial  condition  has  improved  while  its  mission
activities  have increased.  Additionally,  the Report made  recommendations  to
Farmer Mac for  enhancement  of its risk  management  and  corporate  governance
practices,  which  Farmer Mac has, in many  instances,  already  undertaken.  In
addressing the topics specified in the Senate  Committee's  letter,  GAO (in its
third review of Farmer Mac in the past six years) determined:
o    Farmer Mac's financial condition has improved since GAO's last report, with
     capital in excess of required levels and increased income;
o    Farmer Mac has made  progress in the  enhancement  of credit  controls  and
     mortgage  asset  management,  though GAO  recommended  improvements  to the
     measurement and monitoring of associated risks;
o    Farmer Mac's interest rate risk is being managed effectively;
o    Farmer Mac's  investment  practices and strategies have resulted in liquid,
     high-quality  investments,  while non-mission investments have been reduced
     as a percentage of mission-related assets;
o    Farmer  Mac's   mission-related   agricultural   mortgage  activities  have
     increased,  and GAO suggested  that  Congress  consider  establishing  more
     specific mission criteria;
o    Farmer Mac's executive  compensation is in line with the recommendations of
     outside compensation experts; and
o    Farmer Mac has no significant shortcomings in corporate governance, and its
     Board of Directors is further updating corporate governance practices while
     taking actions to ensure compliance with recent Sarbanes-Oxley Act and NYSE
     listing requirements, as they become effective.

     Many of the actions  recommended in the GAO Report were already underway at
Farmer Mac as part of its  commitment  to ensure that best  practices  are being
applied in its risk management operations, including:
o    First, as part of its credit risk management,  Farmer Mac has developed and
     has implemented a loan classification  system. That system is the basis for
     Farmer  Mac's new capital  adequacy  model,  which  provides an  additional
     measure of the  sufficiency  of  corporate  capital  beyond  the  statutory
     minimum and risk-based capital levels established by Congress.  That system
     will also be the vehicle for the  migration  of Farmer  Mac's  current loss
     reserve  methodology,  based on historical  industry data, to a methodology
     based on its own historical portfolio loss and loan performance experience.
o    Second,  Farmer Mac has formalized its  long-standing  contingency  funding
     plan to provide for the Corporation's continuing liquidity.
o    Third, Farmer Mac has enhanced the documentation  requirements for its loan
     underwriting decisions and loss reserve methodology.

     Farmer Mac  President  Henry D.  Edelman  stated,  "When the GAO Report was
requested,  the purpose was to ensure that  Farmer  Mac's  mission for  farmers,
ranchers and rural  homeowners  would continue to be met in a financially  sound
manner.  The Report  makes it clear that there are no  significant  issues  with
respect to Farmer Mac's financial  stability,  corporate  governance,  executive
compensation,  or  investment  practices,  and that Farmer Mac has increased its
mission-related  activities.  We appreciate GAO's  recommendations to Farmer Mac
and in those areas in which we need to  improve,  we either are doing so or plan

     Farmer Mac is a  stockholder-owned  instrumentality  of the  United  States
chartered  by Congress to  establish a secondary  market for  agricultural  real
estate and rural housing mortgage loans and to facilitate capital market funding
for USDA-guaranteed farm program and rural development loans. Farmer Mac's Class
C and Class A common stocks are listed on the New York Stock  Exchange under the
symbols AGM and AGM.A,  respectively.  Additional  information  about Farmer Mac
(including  the full text of Farmer Mac's comment letter on the GAO Report and a
link  to  the  Report   itself)  is  available   on  Farmer  Mac's   website  at

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