On September 19, 2024, Secretary of the Treasury Janet L. Yellen addressed the Community Development Advisory Board Meeting to commemorate the 30th anniversary of the Community Development Financial Institutions (CDFI) Fund.
Yellen began by expressing gratitude to her government colleagues and private citizens serving on the board, emphasizing their expertise and commitment in strengthening the CDFI Fund’s work.
"Three decades ago, President Clinton worked to establish the CDFI Fund with bipartisan support from Congress to advance the goal of promoting economic revitalization and community development," Yellen stated. Since its inception, the CDFI Fund has awarded over $7 billion to CDFIs and mission-driven lenders, along with $76 billion in tax credits to community development entities. According to one analysis cited by Yellen, every dollar invested by the CDFI Fund catalyzes at least eight additional dollars in private-sector investment.
Highlighting its pivotal role during recent crises, Yellen noted that "we came into office in the depths of the COVID-19 pandemic," where CDFIs played a crucial part in response efforts. The Administration invested $9 billion under the Emergency Capital Investment Program and $3 billion under both the Rapid Response Program and Equitable Recovery Program. These funds enabled CDFIs to support American households and businesses amid economic challenges posed by COVID-19.
As recovery progressed, Yellen underscored that "the CDFI Fund continued to be key to our Administration’s economic agenda." Efforts included investing in underserved communities through initiatives like deep impact lending incentivized by programs such as Emergency Capital Investment. In June, an additional $100 million was announced for increasing affordable housing supply over three years.
Additionally, Yellen mentioned that funding and guidance are being provided by the CDFI Fund to counter cyber threats—a challenge recognized as requiring sustained effort.
Reflecting on three decades of progress, Yellen remarked on how significant a role the CDFI Fund has played in fueling economic development across numerous U.S. communities. She expressed pride in supporting and expanding its work under her administration.
In conclusion, she thanked all contributors for their progress and looked forward to future endeavors with optimism.
