Press release
Fifth Third Receives $85M New Markets Tax Credits Award from U.S. Treasury
Award will help Fifth Third accelerate revitalization in communities across the U.S. CINCINNATI--(BUSINESS WIRE)-- The Fifth Third New Markets Development
About this update from Fifth Third Bancorp
[{"type":"text","content":"\nAward will help Fifth Third accelerate revitalization in communities across the U.S.\n\n\n CINCINNATI--(BUSINESS WIRE)--\nThe Fifth Third New Markets Development Company II has received an $85 million New Markets Tax Credits award from the U.S. Department of the Treasury’s Community Development Financial Institutions Fund.\n\n\nAn affiliate of the Fifth Third Community Development Company, LLC (CDC), the Fifth Third New Markets Development Company II was one of 142 community development entities nationwide to receive an award in the Treasury fund allocation announced on Dec. 23.\n\n\nIt is the second award to Fifth Third (NASDAQ: FITB) within the past 15 months: the Fifth Third New Markets Development Company also received a $50 million New Markets Tax Credits award from the U.S. Treasury in September 2024.\n\n\n“Access to capital remains the most critical need in our communities: whether it’s financing to build housing, revitalize commercial corridors, support small businesses, develop the workforce, provide financial education, or empower individuals,” said Kala Gibson, chief corporate responsibility officer at Fifth Third. “Through our innovative, place-based economic development strategy, Fifth Third is leading the way. This award will enable us to accelerate our efforts and deepen our impact in the communities we serve.”\n\n\nThe New Markets Tax Credit (NMTC) Program helps economically distressed communities attract private investment capital. This federal tax credit helps to fill project financing gaps by enabling investors to make larger investments than would otherwise be possible. Communities benefit from the jobs associated with investments in manufacturing, retail, and technology as well as greater access to housing and public facilities such as health, education, and childcare. For every $1 of federal investment, the NMTC Program generates $8 of private investment, according to the U.S. Treasury.\n\n\n“New Markets Tax Credits are one of the most impactful tools in our community development toolbox,” said Susan Thomas, president of the Fifth Third Community Development Corporation. “They provide crucial capital for economic development in underserved communities, funding healthcare clinics, community facilities and the growth of local businesses. These efforts provide jobs and critical services for residents of the ...