It is critical to the development of affordable housing. CDFIs work in areas other financial institutions are either unable to or unwilling to. CDFI loans really make an impact on effectively addressing the financial needs of low-income families.
It is critical to the development of affordable housing. CDFIs work in areas other financial institutions are either unable to or unwilling to. CDFI loans really make an impact on effectively addressing the financial needs of low-income families.
We have seen thousands of businesses receive grants and loans through CDFIs that have gone on to become successful businesses, contributing significantly to their local economies. Most of these businesses would not have received this capital from other financial institutions, so without this CDFI funding these thousands of businesses would not have been started or would have run out of initial funding before hitting the critical mass necessary to be successful. It means thousands of businesses, employers and employees are now gainfully employed, contributing to the economy and paying taxes that otherwise would not have happened.
Native CDFIs are a critical/integral part of the financing infrastructure in Native communities and they make the most important investments and achieve the most impressive impacts in Native communities. They are directly responsible for enhancing financial literacy/capability, for creating access to capital, for increasing homeownership and building homes, and for providing technical and financial support for entrepreneurs and businesses. Even when traditional banks operate in or near Native communities, they often lack the understanding of the Native culture and complexities of providing financial services in Indian Country. Native CDFIs have emerged to help address the credit and capital challenges and provide Native communities and residents with an alternative to mainstream banks. Our Native CDFI, Four Directions Development Corporation has been a tremendous asset to the Native communities in Maine. We started out with $250,000 in capital in 2002 and over the past twenty + years, Four Directions has lent out over $25 million in capital to first-time homebuyers, new and emerging entrepreneurs and businesses, for tribal community development such as tribal wellness centers, family housing, elder housing and community facilities and infrastructure. Native CDFIs are a fundamental aspect of tribal development, a critical strategic financing partner for building a robust and sustainable economy in Indian communities nationwide.