NYDFS proposes partnership with CDFIs

State Issues New York NYDFS State Regulators Small Business Lending CDFI Diversity

On February 25, NYDFS announced a proposal to partner with Community Development Financial Institutions (CDFIs) to deliver $150 million to small businesses. According to the announcement, the partnership was announced after Governor Kathy Hochul held a roundtable related to “how New York State can spur economic recovery in Black and brown communities,” as well as “new efforts to fight structural racism embedded in the financial system and support innovative community lending programs and economic development services focused on reaching communities of color.” The announcement pointed out that the partnership is part of the governor’s FY2023 budget, which proposed an unprecedented assistance package for small businesses, including more than $500 million to the state. Governor Hochul also announced an advisory council of New York State-chartered CDFIs and minority depository institutions, which will be led by NYDFS Superintendent Adrienne Harris, and “will elevate the specific concerns of New York CDFIs and MDIs to support communities of color and ensure their needs are met.”