Pravina Raghavan Steps into New Role as Director of CDFI Fund

Posted by Gracie Nelson on March 13, 2024

Pravina Raghavan has recently assumed the position of Director of the Community Development Financial Institutions (CDFI) Fund. Director Raghavan hails from an extensive background in economic development, working to improve public private partnerships, managing substantial loan portfolios, and collaborating with CDFI’s and credit unions to bolster small businesses. Her diverse experiences position her well to navigate the complexities of the CDFI space and advance its mission effectively.

GoWest is eager to work with Director Raghavan to ensure the continued success of the CDFI Fund in partnership with credit unions. The Association will look for opportunities to engage with the Director as we continue to advocate for increased CDFI funding, streamlining the certification process, and promoting mission aligned grants and funding opportunities to support underserved communities.

President’s 2025 Budget Proposal and CDFI’s

In addition to Raghavan’s appointment, President Biden’s 2025 Budget highlights a commitment to promoting access to capital in underserved communities, with a focus on bolstering the Community Development Financial Institutions (CDFI) Fund. A $325 million allocation represents a $1 million increase from the previous year, accompanied by a $55 million boost to facilitate credit and technical assistance in historically marginalized areas.

The Department of the Treasury aims to foster inclusive economic growth while combatting financial crime and enhancing taxpayer services. Proposals include a $10 million subsidy for the CDFI Fund’s Bond Guarantee Program and expanding the Small Dollar Loan Program to provide affordable credit options and reduce reliance on high-cost payday loans.

Raghavan’s leadership, coupled with the initiatives outlined in the President’s Budget, creates the possibility of further empowering communities and fostering inclusive economic growth across the nation. As you know, the funding levels and mechanisms must be approved by Congress, so GoWest will remain actively engaged with the CDFI Fund and Congress through advocacy efforts, strategic partnerships, and the work of the GoWest Foundation to support these efforts.

Posted in Advocacy on the Move, Regulatory Advocacy.