Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act).

41,746,557The number of shares outstanding of Class B capitalthe issuer’s common stock par value $100 per share, were outstanding at October 31, 2007.as of April 30, 2008 was 47,112,744.

The Federal Home Loan Bank of New York (“FHLBNY” or “the Bank”) is a federally chartered corporation, exempt from federal, state and local taxes except real property taxes. It is one of twelve district Federal Home Loan Banks (“FHLBanks”). The FHLBanks are U.S. government-sponsored enterprises (“GSEs”), organized under the authority of the Federal Home Loan Bank Act of 1932, as amended (“FHLBank Act”). Each FHLBank is a cooperative owned by member institutions located within a defined geographic district. The members purchase capital stock in the FHLBank and would receive dividends on their capital stock investment.investment unless dividend payment is withheld. The FHLBNY’s defined geographic district includesis New Jersey, New York, Puerto Rico, and the U.S. Virgin Islands. The FHLBNY provides a readily available, low-cost source of funds for its member institutions. The FHLBNY does not have any wholly or partially owned subsidiaries, nor does it have an equity position in any partnerships, corporations, or off-balance-sheet special purpose entities. The Bank does have two grantor trusts related to employee benefits programs, and these are more fully described in Note 10. Employee Retirement Plans.

Members of the cooperativeFHLBNY must purchase FHLBNY stock according to regulatory requirements.requirements (For more information, see Note 7. Capital, Capital Ratios, and Mandatorily Redeemable Capital Stock). The business of the cooperative is to provide liquidity for the members (primarily in the form of advances)loans referred to as “advances”) and to provide a return on members’ investment in FHLBNY stock in the form of a dividend. Since the members are both stockholders and customers, the Bank operates such that there is a trade-off between providing value to them via low pricing for advances with a relatively lower dividend versus higher advances pricing with a relatively higher dividend. This means that theThe FHLBNY is managed to deliver balanced value to members, rather than to maximize profitability or advance volume through low pricing.

All federally insured depository institutions, insured credit unions and insurance companies engaged in residential housing finance can apply for membership in the FHLBank in their district. All members are required to purchase capital stock in the FHLBNY as a condition of membership. A member of another FHLBank or a financial institution that is not a member of any FHLBank may also hold FHLBNY stock as a result of having acquired an FHLBNY member. AsBecause the Bank operates as a result of the membership requirements,cooperative, the FHLBNY conducts business with related parties in the normal course of business and considers all members and non-member stockholders as related parties in addition to the other FHLBanks.FHLBanks (For more information about related parties and related party transactions, see Note 11. Related Party Transactions.

The FHLBNY’s primary business is making collateralized loans known as “advances”or advances to members. This is the primary focus of the Bank’s operations and also the principal factor that impacts the financial condition of the FHLBNY.

The FHLBNY is supervised and regulated by the Federal Housing Finance Board (“Finance Board”), which is an independent agency in the executive branch of the U.S. government. The Finance Board ensures that the FHLBNY carries out its housing and community development mission, remains adequately capitalized and able to raise funds in the capital markets, and operates in a safe and sound manner. However, while the Finance Board establishes regulations governing the operations of the FHLBanks, the Bank functions as a separate entity with its own management, employees and board of directors.

The FHLBNY obtains its funds from several sources. A primary source is the sale of FHLBank debt instruments, called consolidated obligations, to the public. The issuance and servicing of consolidated obligations are performed by the Office of Finance, a joint office of the FHLBanks established by the Finance Board. These debt instruments represent the joint and several obligations of all the FHLBanks.

Additional sources of FHLBNY funding are member deposits, other borrowings, and the issuance of capital stock. The FHLBNY accepts deposits principallyDeposits may be accepted from member financial institutions and federal instrumentalities.

The preparation of financial statements in accordance with generally accepted accounting principles in the U.S. requires management to make a number of judgments, estimates, and assumptions that affect the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities (if applicable), and the reported amounts of income and expense during the report period. Although management believes these judgments, estimates, and assumptions to be reasonably accurate, actual results may differ. The information contained in these financial statements is unaudited. In the opinion of management, normal recurring adjustments necessary for a fair statement of the interim period results have been made.

The availability of observable inputs can vary from product to product and is affected by a wide variety of factors including, for example, the characteristics peculiar to the transaction. To the extent that valuation is based on models or inputs that are less observable or unobservable in the market, the determination of fair value requires more judgment. Accordingly, the degree of judgment exercised by FHLBNY in determining fair value is greatest for instruments categorized as Level 3. In certain cases, the inputs used to measure fair value may fall into different levels of the fair value hierarchy. In such cases, for disclosure purposes the level in the fair value hierarchy within which the fair value measurement in its entirety falls is determined based on the lowest level input that is significant to the fair value measurement in its entirety.

At March 31, 2008 the FHLBNY measured and recorded fair values in the Statements of condition for its derivative contract, unlesspositions and available-for-sale securities.

Derivative positions- The FHLBNY is an end-user of over-the-counter (“OTC”) derivatives to hedge assets and liabilities under the provisions of SFAS 133 to mitigate fair value risks. In addition, the Bank records the fair value of suchan insignificant value of mortgage-delivery commitments as derivatives, also under the provisions of SFAS 133, “Accounting for Derivative Instruments and Hedging Activities”. For additional information, see Note 9. Derivatives.

Valuations of derivative is obtained from a quoted market price, or other valuation technique incorporating observable market data.assets and liabilities reflect the value of the instrument including the values associated with counterparty risk. With the issuance of SFAS 157, also precludesthese values must take into account the use of a liquidity or block discount when measuring instruments traded in an active market at fair value. SFAS 157 requires that costs related to acquiring financial instruments carried at fair value should not be capitalized, but rather should be expensed as incurred. SFAS 157 also clarifies that an issuer’sFHLBNY’s own credit standing, should be considered when measuring liabilities at fair value.

As a result of these pre-existing methodologies, the first interim period for the fiscal year in which SFAS 157 is initially applied. The Bank will adoptFHLBNY concluded no refinements were necessary at adoption of SFAS 157 on January 1, 2008, and adoption did not result in a transition adjustment and had no impact to the Bank’s retained earnings at January 1, 2008.

Investment’s in available-for-sale securities- Changes in the valuation of available-for-sale securities were recorded in Accumulated other comprehensive income, which is evaluating its potential effecta component of members’ capital, with an offset to the recorded value of the investments in the Statements of condition.

The adoption of SFAS 157 had no impact on itsthe Bank’s retained earnings at January 1, 2008.

See Note 13. Fair Values of Financial Instruments for additional disclosure with respect to the Levels associated with assets and liabilities recorded on the Bank’s Statements of condition at March 31, 2008. Also see Note 13 for more information about fair value disclosures of financial statements.instruments under the provisions of SFAS 107.

Adoption of SFAS 159 —- Fair Value Option - On February 15, 2007, the FASB issued SFAS No. 159, “The Fair Value Option for Financial Assets and Financial Liabilities including— Including an amendmentAmendment of FASB Statement No. 115”(“SFAS 159” or “FVO”).SFAS 159 creates a fair value option allowing, but not requiring, an entity to irrevocably elect fair value as the initial and subsequent measurement attribute for certain financial assets and financial liabilities with changes in fair value recognized in earnings as they occur. SFAS 159 alsoIt requires an entityentities to report those financial assets and financial liabilities measured atseparately display the fair value in a manner that separatesof those reported fair values from the carrying amounts of assets and liabilities measured using another measurement attributefor which the company has chosen to use fair value on the face of the statementbalance sheet. As of financial position. Lastly, SFAS 159 requires an entitythe adoption date and March 31, 2008, the FHLBNY has chosen to provide information that would allow users to understandnot elect the effect on earningsFVO for any of changes in the fair value on those instruments selected for the fair value election. SFAS 159 is effective for fiscal years beginning after November 15, 2007 (January 1, 2008 for the Bank). The Bank is continuing to evaluate theits financial assets and liabilities, if any, for which the fair value option under SFAS 159 could be elected, and to assess the impact on its financial condition, resultsliabilities.

SFAS 161 — In March 2008, the FASB issued SFAS No. 161,“Disclosures about Derivative Instruments and Hedging Activities — an amendment of FASB Statement No. 133”(“SFAS 161”). SFAS 161 is intended to improve financial reporting about derivative instruments and hedging activities by requiring enhanced disclosures to enable investors to better understand their effects on an entity’s financial position, financial performance, and cash flows. SFAS 161 is effective for financial statements issued for fiscal years and interim periods beginning after November 15, 2007,2008 (January 1, 2009 for the FHLBNY), with early application allowed. The FHLBNY has not yet determined the effect that the adoption permitted. If the Bank adopts the provisions under the FSP, it does not expect implementation toof SFAS 161 will have a material impact on reported results of operations orits financial condition.statement disclosures.

Held-to-maturity securities consist of mortgage- and asset-backed securities (“MBS”(collectively mortgage-backed securities or “MBS”), and state and local housing finance agency bonds. No security had been pledged at March 31, 2008 and December 31, 2007.

The amortized cost, gross unrealized gains, losses, and the fair value of theseheld-to-maturity securities were as follows (in thousands):

Temporary impairment¹. The following tables summarize held-to-maturity securities with fair values below their amortized cost (in thousands), i.e., in an unrealized loss position at September 30, 2007March 31, 2008 and December 31, 2006:2007:

Available-for-sale securities (“AFS securities”) consisted principally of floating-rate securities issued by Fannie Mae and Freddie Mac. Neither Fannie Mae nor Freddie Mac are agencies of the U.S. Government nor are their securities guaranteed by the U.S. Government.

In addition, the Bank had classified all investments in equity and fixed-income funds. The Bank established two small grantor trusts as AFS securities. The trusts invest in the third quarter of 2007fixed-income bond and equity mutual funds and were established to fund current and future payments under two supplemental pension plans. The investments in the grantor trusts have been classified as available-for-sale.

The amortized cost, gross unrealized gains, losses, and losses are summarizedthe fair value of investments classified as available-for-sale were as follows (in thousands):

Contractual redemption terms and yields of advances were as follows (dollars in thousands):