Community development financial institutions (CDFI's) and their local partners can take advantage of a new private capital source designed to spur economic development in low-income communities—the New Markets Tax Credit (NMTC) program.
Signed into law as part of the Community Renewal Tax Relief Act of 2000, the New Markets Tax Credit is designed to stimulate $15 billion in private equity investment in under-served communities. Policymakers believe this investment will create new jobs, spur increased economic activity through business development, and promote community revitalization.
