The Trump administration recognizes the important role that the Community Development Financial Institutions Fund plays in expanding access to capital, and CDFIs are a key component in promoting Main Street business development, Treasury Secretary Scott Bessent said today in a statement.
President Trump last week issued an executive order directing the CDFI Fund and other government programs to reduce their personnel and operations to the minimum to needed to perform their statutory duties. It also gives the OMB Director Russ Vought and other administration officials the ability to reject funding requests for the entities “to the extent they are inconsistent with this order.”
Bessent said the administration recognizes the role CFDIs play in expanding access to capital and providing technical assistance to communities across the U.S.
“CDFIs are a key component of President Trump’s commitment to supporting Main Street America in the pursuit of job growth, wealth creation and prosperity,” Bessent said. “As required by President Trump’s March 14, 2025, executive order, the Treasury Department will provide a response to the director of the OMB on this matter and looks forward to future engagement with CDFIs and other stakeholders to strengthen the impact of these statutory programs and incentivize economic opportunities for all Americans.”
The CDFI Fund in January opened the fiscal year 2025 funding round, with plans to distribute approximately $348 million in awards, pending final congressional appropriations.