Monday, the U.S. Department of the Treasury released a report that states California banks have increased their small business lending by $295.9 million since receiving capital through the Small Business Lending Fund (SBLF).
The SBLF, which was signed into law by President Barack Obama as part of the Small Business Jobs Act of 2010, encourages community banks across the nation to increase their lending to small businesses to help them grow and create new jobs, according to the U.S. Department of the Treasury.
“Nationwide, institutions participating in the SBLF significantly increased small business lending in the last quarter of 2011 by $1.3 billion over the prior quarter—for a total of $4.8 billion over their baseline,” according to a U.S. Department of the Treasury statement.
“This report shows that the Small Business Lending Fund is having a powerful impact. The program is helping spark new lending to local entrepreneurs looking to invest in their businesses and create new jobs,” said Deputy Secretary of the Treasury Neal Wolin.
To view the report on the SBLF that Treasury released yesterday, including a detailed list of the change in lending at banks receiving SBLF capital, click here.
In addition to the SBLF, last week President Obama signed the Jumpstart Our Business Startups (JOBS) Act into law, which is designed to allow Main Street small businesses and high-growth enterprises to raise capital from investors more efficiently, helping small and young firms across the country to grow and hire faster, according to the U.S. Department of the Treasury.