The Mission Driven Bank Fund (MDBF) has successfully reached its final fundraising close, amassing $200 million in capital aimed at bolstering FDIC-insured Minority Depository Institutions (MDIs) and Community Development Financial Institutions (CDFIs). This milestone underscores the Fund's commitment to creating a more inclusive and robust banking system, with over a third of its capital already deployed to support mission-aligned banks across the United States.
Paul Welch, the Fund's portfolio manager, highlighted the pivotal role of anchor investors such as Microsoft and Truist in achieving this feat. The Fund's technical services program has seen widespread participation among its bank partners, furthering its goal to enhance financial inclusivity. Anthony Weekly, Truist's Chief Community Reinvestment Act Officer, emphasized the dual impact of MDBF's investments: strengthening the banking system's fabric and paving the way for a more inclusive financial future.
The Fund's focus on MDI and CDFI banks is critical, as these institutions serve low to moderate income African American, Native American, Asian, Hispanic, and Pacific Islander communities. By providing both capital and technical assistance, MDBF aims to drive growth and financial resilience in these sectors, contributing to the reduction of the racial wealth gap. For more information on the Fund's initiatives, visit https://missiondrivenbankfund.org.
This development is a testament to the growing recognition of the importance of inclusive financial systems. The success of the Mission Driven Bank Fund not only highlights the potential for impactful investment in community-oriented banks but also sets a precedent for how financial institutions can contribute to societal equity and economic resilience.
