CDFI Fund Issues $355 Million in Guarantees under the Bond Guarantee Program
In a historic moment for the Community Development Financial Institution (CDFI) Bond Guarantee Program, the U.S. Department of the Treasury’s CDFI Fund announced that it will issue three guarantees totaling $355 million under the CDFI Bond Guarantee Program, the largest issuance in the program’s history.
Through the Bond Guarantee Program, eligible CDFIs have access to fixed rate, long-term and low-cost capital. Loans can be used to finance eligible community and economic development purposes, such as small businesses, charter schools, health care facilities, affordable housing and much more.
Of the $355 million issuance that was announced, CRF will issue a $100 million bond on behalf of Low Income Investment Fund (LIIF).
“We are thrilled by this historic issuance from the CDFI Fund,” said Jennifer Novak, Senior Vice President of Capital Markets at CRF. “The capital provided through the Bond Guarantee Program is critical to CDFIs and their mission to strengthen low-income communities. We are eager to continue our partnership through this issuance with LIIF and to further support their work in bringing opportunity to communities.”
LIIF is one of the original participants of the Bond Guarantee Program and has been integral in shaping this program since its early stages. LIIF’s total participation in the program is now $215 million, and the newest issuance is their third Bond Loan working with CRF.
CRF has now issued $1.04 billion through the Bond Guarantee program, nearly half of the $2.167 billion approved in the program.
Congratulations to the other FY2022 program participants!