CDFIs have been essential vehicles for moving investment capital into communities that otherwise cannot access capital. We provide important technical assistance and financial support to grow businesses, finance projects, and revitalize communities thanks to investments from the CDFI Fund, which we then leverage with other private capital.
CDFIs have a demonstrated track record of success: they often leverage every federal dollar to attract up to 12 times that amount in private investment, reaching borrowers that traditional banks overlook. Whether it’s a veteran-owned business in Montana, a farm in the Central Valley, or a childcare provider in the South Bronx, CDFIs meet communities where they are, providing not only loans but financial education, technical assistance, and long-term support. This is not a partisan issue. Nearly every congressional district in America benefits from the work of CDFIs, with 92% of House districts having at least one CDFI. CDFIs are an engine of local resilience-supporting job creation, small business formation, and upward mobility.
CDFIs fill a critical void in funding the development of affordable housing. They provide below market interest rates, have flexible terms, and can respond to critical funding needs with more flexibility than a traditional bank/credit union.