Treasury sending $80M to N.J. lenders to help businesses and residents in low-income areas

Published: Sep. 22, 2022

Two New Jersey lenders will receive more than $80 million under a federal program to help businesses and residents in underserved communities hard hit economically by the coronavirus pandemic.

The U.S. Treasury Department said the funds would help local financial institutions provide loans, grants and other assistance to residents, small businesses and minority-owned businesses. The program was designed to help those in low-income and underserved communities disproportionately hurt economically by the pandemic.

“These essential funds provide opportunity to underserved communities across the country, helping them to regain their footing following the pandemic and strengthening their resilience against future shocks,” Treasury Secretary Janet Yellen said.

Almost all of the money earmarked for New Jersey, $79.1 million, will go to the NMB Financial Corp. in Fort Lee, which does business as the New Millennium Bank, while the 1st Bergen Federal Credit Union in Hackensack will get $1.3 million.

“We know that our small and minority-owned businesses were some of the most severely impacted from the effects of the COVID-19 pandemic,” said U.S. Sen. Robert Menendez, a member of the Senate Banking Committee.

“These investments will help individuals and communities throughout our state of New Jersey to build back stronger by providing capital for vital affordable housing and community development projects.”

The funds came out of the Emergency Capital Investment Program, which was created in the 2021 spending bill to help communities that lack financial services.

“It is vital that we assist small and minority-owned businesses as they rebuild from the economic downturn caused by the public health crisis,” U.S. Sen. Cory Booker said. “These investments will aid the efforts of community-based financial institutions to ensure businesses, especially in low-income and financially underserved communities, thrive.”

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published this page in News and Politics 2022-09-23 02:52:40 -0700