ALEXANDRIA, Va. – NCUA Chairman Todd Harper called on federally insured credit unions to do all they can to advance economic equity and justice during remarks delivered to a Town Hall hosted by Inclusiv.
“Many minority-owned businesses and communities have been acutely affected by the suddenness and depth of the economic shock resulting from the lockdowns that were put in place to contain the spread of the virus,” Harper said. “By staying focused on diversity, equity, inclusion, and social justice, credit unions can help ease the financial impact of COVID-19 and systemic racism on communities of color. And the end-result will be a more vibrant economic outcome for everyone in society.”
In addition to speaking on economic equity and justice, Harper also addressed minority depository institution preservation and the Treasury Department’s Emergency Capital Investment Program (ECIP), which he encouraged eligible credit unions to utilize.
“The ECIP aligns with the mission of the credit union movement to expand access to affordable financial services free of discrimination to those of modest means,” Harper said. “I believe this important program has the potential to make a real difference in the lives of many Americans. I strongly encourage eligible credit unions to tap into the program to support the communities they serve.”
Why Congress Created Program
NCUA noted Congress created the ECIP as part of the Consolidated Appropriations Act, 2021, to help community-based financial institutions support consumers and local small businesses in low-income and underserved communities that have been disproportionately affected by the economic effects of the COVID-19 pandemic. A federally insured credit union must be certified as a Community Development Financial Institution or minority depository institution to participate in the program.
The agency added that diversity, equity, and inclusion are one of Harper’s four priorities as NCUA chairman, along with capital and liquidity, consumer financial protection, and cybersecurity. “These priorities will guide NCUA decisions in addressing current economic and marketplace realities,” Harper said.