FANNIE MAE
                                                            Medium-Term Notes,
                                                                        Series B

         This Pricing Supplement relates to the issue of Medium-Term Notes, Series B described below (the "Notes"). You should read it together with the Offering Circular dated September 15, 1998 (the "Offering Circular") relating to the Medium-Term Notes, Series B of the Federal National Mortgage Association ("Fannie Mae"). Capitalized terms used in this Pricing Supplement have the meanings we gave to them in the Offering Circular, unless we specify otherwise.

          The Notes, together with interest thereon, are not guaranteed by the United States and do not constitute a debt or obligation of the United States or any agency or instrumentality thereof other than Fannie Mae.

CUSIP Number:   31364GZX0

Certain Securities Terms

1.    Principal Amount:   $125,000,000.00

2.    Issue Date (expected Settlement Date):   March 25, 1999

3.    Maturity Date:   March 25, 2004

       a.    Amount Payable on the Maturity Date:    100% of principal amount

4.    Subject to Redemption Prior to Maturity Date
                 No
          X    Yes; in whole or in part, at our option, at a redemption price of 100% of the principal amount redeemed, plus accrued interest thereon to the date of redemption
                  X   at any time (and from time to time) on or after  March 25, 2002
               __   on ___________
               __   on each Interest Payment Date commencing ________

5.    Interest Category:  Fixed Rate Notes

6.    Interest

       a.    Frequency of Interest Payments
                 X     Semiannually
                        Other:                                       

       b.    Interest Payment Dates:  25th day of each March and September

       c.    First Interest Payment Date:  September 25, 1999

4. Interest rate per annum:  5.88%

Offering

1.    Pricing Date:  March 18, 1999

2.    Method of Distribution:      X    Principal             Non-Underwritten

3.    The following dealers have agreed jointly and severally to purchase all the Notes:

        Bear, Stearns & Co. Inc.
        ABN-AMRO Incorporated

       a.    Representative(s):  Bear, Stearns & Co. Inc.

4.    Offering Price:
          X      Fixed Offering Price:     100% , plus accrued interest, if any, from March 25, 1999
                  Variable Price Offering

5.    If Fixed Offering Price, discount to Dealers:     .20% of Principal Amount

6.    Price to Dealers:     99.80% of Principal Amount

7.    Our Proceeds:     $124,750,000.00

8.    Concession:     .15% Reallowance:    .10%
 
 
 

 
 
 
 
INTERNAL FANNIE MAE INFORMATION
CUSIP number:   31364GZX0

       1.     Treasury Price                     5 yr 98.84375% (98-27)

        2.     Treasury Yield                    5.018%

        3.     Spread (Reoffer)                 .862%

        4.     Fannie Mae Interest Rate     5.88%

        5.     Fannie Mae Price                 99.80%

        6.     Fannie Mae Yield (All-In)     5.927%

        7.     Spread (All-In)                     .909%

Analytics
     1.     Modified Duration                 3.13   years

     2.     Average Life                         3.37   years

     3.     Implied Volatility                   19.85 %

     4.     OAS(11% vol)                     17.88 bps

     5.     Portfolio Type:
                X     Mortgage
                       Other:
 
     6.     Swapped:
                X      No
                        Yes,    Amount Swapped: _                                 _
                                                STAR -ID of Swap: _                                 _
                                                MM #:
 

      7.     MTN #:     3893

Settlement
         1.     Settlement Date:   March 25, 1999

          2.     Book-Entry System Settlement Instructions:

                   Holding Institution:      Chase NYC
                   ABA #:                        021 000 021  
                   Account Name:            CTCGBS  
                   Account Number: