Capital Deployment Opportunity · Lending, deposits and bonds
Community Development Financial Institutions (CDFIs)
Definition
For a capital provider, a CDFI is an intermediary that places loans and equity investments in its investment area or with its targeted population.[1] Congress created the Community Development Financial Institutions Fund to invest in and assist CDFIs, including by enhancing their liquidity.[1]
Federal law
- Riegle Community Development and Regulatory Improvement Act of 1994, title I, subtitle A (Community Development Banking and Financial Institutions Act of 1994), Pub. L. 103-325, title I, §§ 102–104, 108 Stat. 2160, 2163–2165. Defined "community development financial institution" (§ 103, 12 U.S.C. § 4702) and established the CDFI Fund (§ 104, 12 U.S.C. § 4703). Official text: govinfo.gov, U.S. Government Publishing Office.