Treasury Awards $1.25 Billion in COVID-19 Relief Grants to CDFIs

The Treasury Department today awarded $1.25 billion in COVID-19 relief grants to 863 community development financial institutions through its CDFI Rapid Response Program. The grants “will provide necessary capital for CDFIs to respond to economic challenges created by the COVID-19 pandemic, particularly in underserved communities.”

The CDFI RRP grant funds will be used to support eligible activities such as financial products, financial services, development services and certain operational activities, and to enable CDFIs to build capital reserves and loan-loss reserves.