Federal Home Loan Bank awards money to 3 Arkansas banks

Almost $3.4 million in funding was awarded to 14 non-depository community development financial institutions (CDFIs) through the Federal Home Loan Bank of Dallas (FHLB Dallas) Capacity Building and Growth Grant (CBGG) program.

Three Arkansas financial institutions received over $600,000 with a half-million awarded to Southern Bancorp.

The funding is designed to help increase CDFIs’ ability to fulfill their role in supporting affordable housing, small businesses and economic development in underserved communities. These awards were made either to FHLB Dallas member institutions or through them to non-member institutions.

The 2024 award recipients are:

Fayetteville
Member: Woodforest National Bank
Awardee: Communities Unlimited Inc.
Monetary Grant: $92,500

Little Rock
Member: Simmons Bank
Awardee: Arkansas Capital Corporation
Monetary Grant: $41,000

Member: Southern Bancorp Capital Partners
Awardee: Southern Bancorp Capital Partners
Monetary Grant: $500,000

“This is a unique way for the Bank to support non-depository CDFIs in our five state District. We believe these grants will strengthen these non-depository CDFIs for the critical work they do,” said Greg Hettrick, senior vice president and director of Community Investment at FHLB Dallas.

The maximum monetary grant for non-depository member CDFIs is $500,000 and $100,000 for non-depository non-member CDFIs. Non-depository CDFIs are often nonprofit loan funds and depository CDFIs consist of federally regulated institutions such as banks and credit unions.