American Banker, June 14, 2020: Congressional scrutiny of PPP grows amid national focus on racism
A spokesperson for the SBA said the agency “is committed to ensuring that PPP loans reach minority-owned firms.” The spokesperson also noted the SBA and Treasury announced that $10 billion of the PPP funding would be dedicated to community development financial institutions in order to better reach minority-owned businesses.
Jesse Van Tol, chief executive of the National Community Reinvestment Coalition, said the set-aside was helpful but should have been included when the program was first launched.
“We were glad that they made that announcement,” Van Tol said. “That was a good step forward. I do think that something on that order should have been done at the beginning. I think CDFIs are smaller, mission-driven lenders, who would have been very helpful.”