October 24, 2023

ABA: Statement on Community Reinvestment Act Final Rule

“ABA and our members have long supported the goals of the Community Reinvestment Act to make sure people in every corner of the country have the chance to succeed. In demonstration of that commitment, banks of all sizes invested $287 billion in capital in low- and moderate-income areas in 2021 alone. We have also strongly supported modernizing the Community Reinvestment Act rules to reflect the realities of modern-day banking. The test for a CRA modernization rule is whether it incentivizes investment in underserved communities with requirements that are transparent, promote consistency and align with Congressional intent.

“We are still reviewing the nearly 1,500-page final rule released today, including changes from the proposed rule, to assess whether it meets our criteria. We are also closely examining whether the final rule can be reconciled with other major regulatory changes in play including the Basel III capital proposal. Feedback from our members will guide us moving forward.”

This post was originally published here.