Nonprofit Develops Financial Reporting System for CDFIs
CDFI data and analysis nonprofit CARS Inc. is launching a financial reporting system for CDFI loan funds. The nonprofit intends the ratings to simplify CDFI finances for investors, including banks looking for credit under the Community Reinvestment Act. CDFI loan funds are unregulated and investors often struggle to gain timely and accurate data, a major obstacle to attracting non-philanthropic capital. CARS currently has ratings and data available for institutions that manage 55% of all CDFI assets. Jeannine Jacokes, CEO of loan fund Partners for the Common Good (and CDBA Senior Policy Advisor) commented, "The more CDFIs that participate in the reporting system makes the whole system stronger."