Community Ventures awarded more than $1.8 million to help underserved areas
Offers loans, education and other financial services to traditionally underserved populations
LEXINGTON, Ky. (WTVQ) – The U.S. Department of the Treasury CDFI fund Rapid Response Program has awarded $1.8 million to Community Ventures, a Kentucky-based Community Development Financial Institution that offers loans, education and other financial services to traditionally underserved populations and areas of the Commonwealth.
The award will provide the capital necessary to respond to economic challenges created by the pandemic. The award was part of a total of $1.25 billion in COVID-19 relief funds dispersed by the Rapid Response Program to 863 CDFIs.
“In serving places that the financial sector historically hasn’t served well, CDFIs lift our whole economy up,” said Treasury Secretary Janet L. Yellen. “We know that for every dollar injected into a CDFI, it catalyzes eight more dollars in private-sector investment, meaning that today’s announcement might lead to an additional $10 billion in investment.”
This capacity building grant will ensure Community Ventures remains strong and effective as a CDFI that assists the marginalized—low income, women and minorities—in its efforts to reduce income disparity in both urban and rural areas across Kentucky.
“Community Ventures will utilize RRP funds in ways that allow us to continue to provide unabated assistance to both small businesses and homeowners suffering fallout from the lingering effects of the pandemic,” explained Brian Hutchinson, Chief Development Officer for Community Ventures. ”The CDFI Fund’s support allows us to be positioned well is providing critical relief to our clients.”
“These awards provide CDFIs with an unprecedented level of flexible capital to help distressed and underserved communities across the country take meaningful steps towards recovering from the debilitating economic impacts of the COVID-19 pandemic,” said CDFI Fund Director Jodie Harris. “CDFI RRP awards will enable CDFIs to help businesses keep their doors open, help families make ends meet, and help maintain important community facilities during this difficult time.”