Vice President Announces New Private and Public Sector Efforts to Align Tens of Billions in Investments in Underserved Communities
President Joe Biden and Vice President Kamala Harris are working to make the 14th annual Black Business Month one for the record books. The big difference? The U.S. Department of the Treasury is involved. Starting this August, the celebration will be more than an opportunity to support Black-owned businesses but to invest in them. You know the difference. One will feed your children; the other will deed your great-grandchildren’s children. Yes, we're talking about building generational wealth.
Ahead of a Treasury trip to Raleigh, NC on Friday to hand over a $201.9 million check in funding to focus on increasing access to capital and promote entrepreneurship in traditionally underserved communities, Vice President Harris was in Brooklyn last week to announce historic efforts to catalyze and align public and private investments to address economic disparities and accelerate economic opportunity in communities of color—including the formation of a new Economic Opportunity Coalition (EOC).
“There are still far too many people in our nation who do not have access to the capital and the financial services they need to thrive. And I believe given the breadth of the financial disparities in our nation, the public and the private sector must join forces to take on these challenges. Just consider our capacity when we combine the expertise and the experience of the private sector, with the reach and the scale that only government can provide,” said Vice President Harris, adding that the new private and public sector efforts will align tens of billions in investments in underserved communities. “In the coming months, our administration will work closely with all members of this coalition to make sure that we are maximizing the impact of every dollar that is spent.”
Twenty-one corporations and 3 foundations have come together to create the coalition, committing themselves to aligning major investments in communities of color with investments made by the Biden-Harris Administration. The EOC will coordinate across public, private, and social sector organizations to develop and deploy products that solve challenges in getting resources where most needed and drive towards outcomes for meaningful action.
The founding members of the Coalition include Ariel Investments, Bank of America, BNY Mellon, Capital One, Citi, Discover, Ford Foundation, Goldman Sachs, Google, Key Bank, Kresge Foundation, Mastercard, McDonald’s, McKinsey & Company, Micron, Momentus Capital, Moody’s, Netflix, Next Street, PayPal, PNC, The Rockefeller Foundation, TIAA and Upstart.
Since Day One of the Biden-Harris Administration, President Biden and Vice President Harris have taken decisive action to lead the most equitable economic recovery on record and make long-overdue investments in communities that have historically been left behind.
In addition to interviews with EOC founding members to translate what walking the talk looks like because tapping into the tens of billions in investments will look different for everyone, States will also have their Black Business Month moment. For example, North Carolina signed a contract with the federal government under its State Small Business Credit Initiative, SSBCI, to provide “vital” support for minority and women-owned small businesses across the state, particularly those who have faced challenges in accessing capital. Be the first to pitch your business proposal now that the govment check has been deposited, cleared and ready for disbursement.
“Community lenders are uniquely positioned to fill the gaps that traditional banks either cannot or will not address. Those who run these institutions often work and live in the very community that they serve. They see clearly their community's needs and its challenges. They understand their community. And they also then see their community's strengths and its opportunities,” said Vice President Harris.
The new SSBCI will provide $10 billion to states, the District of Columbia, territories, and Tribal governments. Is your state next?