Microfinance pioneer and small business lender ACCION USA announced today that it has received a $1 million grant from the Community Development Financial Institutions (CDFI) Fund of the U.S. Department of the Treasury.
ACCION USA will use the award to strengthen its ability to provide credit to lower-income and minority microentrepreneurs - owners of very small businesses of five or fewer employees.
ACCION USA was selected for the award through a competitive review of applications from over 200 certified CDFIs. ACCION USA's CDFI certification indicates that it works in communities that are underserved by traditional financial institutions, and that it is an approved partner to banks for their community reinvestment activities.
"ACCION USA is thrilled to receive this award," said Gina Harman, ACCION USA President and CEO. "It is particularly welcome during this difficult time for microenterprises all over the country. With banks tightening lending standards, our role as an alternative provider of credit is now more important than ever. This grant significantly improves our capacity to help low-income entrepreneurs weather the down economy."
U.S. ACCION Network members ACCION Texas and ACCION New Mexico each also received $1 million financial assistance awards through the 2008 round of the CDFI Program. Like ACCION USA, the groups will use their awards to support microlending to underserved populations.
About ACCION USA
ACCION USA is a private, nonprofit organization that serves low- and moderate-income individuals, primarily minorities and women, who are unable to access mainstream financial services. A pioneer and recognized leader in the domestic microfinance field, ACCION USA is dedicated to providing microentrepreneurs and individuals on the economic margin with the crucial chance to access capital and develop greater financial literacy. ACCION USA is a member of the U.S. ACCION Network, the largest U.S. microlending network, with over $229 million lent since inception in 1991. ACCION USA loans range from $500-$25,000 and are offered nationwide via the ACCION USA online lending platform. For more information about small business loans (http://www.accionusa.org), visit www.accionusa.org.
About the CDFI Fund
The CDFI Fund's mission is to expand the capacity of financial institutions to provide credit, capital, and financial services to underserved populations and communities in the United States. For more information on the CDFI Fund, visit www.cdfifund.gov.