Aug 27, 2020 - Economy

Merger creates biggest Black-owned bank

Wayne-Kent A. Bradshaw will be chairman of the combined bank. Photo: Katie Falkenberg/Los Angeles Times via Getty Images

The merger of L.A.'s Broadway Federal Bank and Washington's City First Bank, announced Wednesday, "will create the nation’s largest Black-controlled bank and the first with assets of more than $1 billion," reports the New York Times.

Why it matters: Both banks "are Community Development Financial Institutions, which are lenders that focus on low- and moderate-income areas and typically serve minority borrowers and entrepreneurs who lack the assets to get traditional loans."

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