U.S. Treasury Certification Grants CDFIs Access to Federal Programs
What happened
The U.S. Treasury certifies Community Development Financial Institutions (CDFIs) to deploy capital in communities that conventional lenders overlook. This certification grants CDFIs access to specific federal programs, including the CDFI Fund and New Markets Tax. CDFIs provide structured lending to borrowers whose situations do not fit standard credit models.
From augustafreepress.com
Why it matters
Access to capital is cited as a reliable predictor of whether community projects can proceed. CDFIs operate by taking on projects that conventional lenders pass on, offering flexibility in deal structuring. The capital deployed by these institutions supports small businesses, affordable housing developers, and community organizations.
From augustafreepress.com
Who's involved
- U.S. TreasuryCertifies CDFIs and controls the federal programs that provide capital
- Scott BessentHolds the office of U.S. Treasury Secretary
- Bureau of the Fiscal ServiceOperates as a formal division within the U.S. Treasury
- Federal Reserve BankExecutes financial operations on behalf of the U.S. Treasury
- FEDPolicy decisions influence U.S. Treasury yields
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The entities involved
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U.S. Treasury
mine in Sierra County, New Mexico, United States of America