WASHINGTON—In remarks to the Freedman’s Bank Forum, NCUA Chairman Rodney Hood spoke of the importance of preserving minority depository institutions (MDIs).
“The founding of the Freedman’s Bank was more than just a business opportunity. In its original conception, it was an act of humanitarian service to others, rooted in the sense of deep faith and generosity, for the benefit of people who had very little,” Hood said. “Today, we call it ‘financial inclusion.’ But to the bank’s founders, this was greater than a policy goal: it was a moral and ethical necessity.”
155th Anniversary
The Department of the Treasury celebrated the 155th anniversary of the Freedman’s Bank, which was founded as a way of advancing financial and economic security for African-Americans and their communities after the Emancipation Proclamation and the end of the Civil War.
A panel that included Comptroller Joseph Otting, Assistant Secretary for Financial Institutions at Treasury Bimel Patel, FDIC Chairman Jelena McWilliams, and Federal Reserve Board Gov. Michelle Bowman, and Hood—who moderated the panel—discussed topics that included:
- Initiatives and supervisory strategies agencies are undertaking to complement the work of MDIs in their communities
- The challenges an evolving financial services marketplace poses to smaller institutions
- The benefits of fintech as an opportunity to improve service and expand access to affordable financial services
Two-Day Forum
At the conclusion of the Treasury event, Hood kicked off a two-day Minority Depository Forum for credit unions.
The first day includes a one-on-one discussion with Hood and National Urban League Senior Vice President and Chief Financial Officer Calvin Harris. The second day consists of several training sessions and breakouts that focus on the NCUA’s 2020 supervisory priorities, strategies for growth, and the NCUA’s initiatives to support minority credit unions, NCUA said.
Hood’s remarks are available on the NCUA’s website.