CHARLOTTE, North Carolina, October 19, 2021 / PRNewswire / – Bank of America today announced that its current portfolio of loans, deposits and investments to Community Development Financial Institutions (CDFIs) now exceeds $ 2 billion. This includes approximately $ 100 million in deposits with minority deposit-taking institutions (MDIs) and investments of nearly $ 36 million equity in 21 MDI as part of the company’s recent commitment up to $ 50 million. These investments build on a 25-year partnership that has made Bank of America the largest private investor in CDFIs in the United States, providing capital to more than 250 CDFIs in all 50 states and the District of Colombia.
CDFIs provide affordable and responsible loans and technical assistance to low-income and underserved clients and communities. Bank of America support for CDFIs, including the Paycheck Protection Program (PPP) ready through the health crisis, expands the reach of what business can do on a direct basis, thereby helping to fuel social and economic progress for individuals, small businesses and communities.
“Our work with CDFIs is crucial to our ability to provide access to capital to the thousands of individuals and small businesses who are the backbone of our local communities,” said Brian Moynihan, CEO of Bank of America. “We are focused on bringing capital to areas where there are gaps, and CDFIs are able to provide relief and make a real impact – responding and adapting quickly to deploy capital.” and practical advice when small businesses need it most. “
In response to an increased need for small business support in 2020, Bank of America engaged and exceeded $ 250 million in new capital to CDFIs to provide them with the necessary liquidity to grant Paycheck Protection Program (PPP) loans to their clients, as well as $ 10 million in grants to help CDFI operations.
CDFIs are an important component of the recently launched program Bank of America Access to the capital directory, a one-of-a-kind platform to help educate women-owned businesses in the United States on navigating the capital landscape and identifying potential sources of funding, such as equity, debt, and grants.
According to Opportunity Finance Network1, the CDFIs provided more than $ 82.7 billion in cumulative funding to underserved communities. This funding has helped start or develop more than 448,541 small businesses, 2.1 million housing units and 12,072 community projects, including schools, daycares and health facilities, and is helping to create or maintain over 1.8 million jobs.
Bank of America
At Bank of America (NYSE: BAC), we’re guided by a common goal of helping improve financial lives, through the power of every connection. We achieve this through responsible growth with a focus on our environmental, social and governance (ESG) leadership. ESG is integrated into our eight business lines and reflects how we help power the global economy, build trust and credibility, and represent a company people want to work for, invest in and make money for. business. This is reflected in the inclusive and supportive workplace we create for our employees, the responsible products and services we deliver to our customers, and the impact we have around the world in helping local economies thrive. An important part of this work is forming strong partnerships with nonprofits and advocacy groups, such as community, consumer and environmental organizations, to bring together our collective networks and expertise to achieve greater impact. important. Learn more about about.bankofamerica.com, and connect with us on Twitter (@BofA_News).
Journalists can contact:
Vanessa Cook, Bank of America
1 Opportunity Funding Network, Impact Performance; https://ofn.org/impact-performance
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SOURCE Bank of America Corporation