Heinrich: President Obama's Proposal Is Pro-Small Business, Which Means Pro-New Mexico

Statement

Today, U.S. Representative Martin Heinrich (NM-1) released the following statement regarding President Obama's outline for a new Small Business Lending Fund. The Small Business Lending Fund will transfer $30 billion from the Troubled Asset Relief Program (TARP) to a new program that will support small business lending. The Small Business Lending Fund will be targeted at community and smaller banks that lend the most to small businesses, and offer incentives for banks to increase small business lending.

"It is clear that small businesses are the economic engine of central New Mexico. The proposal outlined by President Obama today is pro-small business, which means pro-New Mexico.

"Everyone knows that a good business plan is simply an idea without the capital necessary to make it a reality. A Small Business Lending Fund would support lending among community banks--who devote the highest percentage of their lending to small businesses, compared to larger banks.

"President Obama's proposal moves us away from the Bush policies of Wall Street bailouts and into an era of empowering our small businesses. I look forward to working with my colleagues in Congress to come up with a plan that encourages hiring and creates strong incentives for lending."

In the wake of Charter Bank's closure, Rep. Heinrich met with local community bank executives yesterday in his downtown Albuquerque office to discuss concerns over constricted lending and the overall health of banks and credit unions in central New Mexico. The meeting was productive and Rep. Heinrich plans to make an announcement on possible action in the coming weeks.

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